Who Will Invest On Crypto?
After Bitcoin entered into the spotlight and thrashing the market overnight, ordinary people started becoming more and more interested in the cryptocurrency. Ordinary investors started seeing that Bitcoin is just the tip of the iceberg. There are lots of digital currencies, and their market potential is also very huge.
After the initial success of Bitcoin, several other digital currencies started showing colossal ROI (return on investment). Between January and April 2021 Dogecoins gave a whopping 8000 per cent return. At the start of this year, the price of ethereum rose from rupees 92,593 to Rs. 1.88 lakh. But the fluctuation of digital currency is very wild. A single coin can become of enormous value, and at the same time, the largest valued coin can suffer a significant backlash.
Investing in crypto coins there are certain points you need to be aware of before investing in Cryptocurrency. Soe of them are discussed below:
Choosing a Crypto exchange:
After the emergence of cryptocurrency, a lot of crypto exchange platforms and apps have arrived. Most of them usually charge a certain sum of money on either investment or trading. Some of them charge in both cases. You need to check the security they are offering and how secure your investments are. For example, some platforms offer a two-step verification process before logging in, to ensure that the right person is logging into their account. Also, you need to find out how many cryptocurrencies the platform provides their customer. For example, many traders wanted to buy Dogecoins, but they couldn’t because many crypto exchange platforms were not supporting Dogecoin exchange.
Creating an account:
The next step is formally creating an account on the crypto exchange platform. For creating an account, you need your identification documents, and you will need to do a KYC where the company will verify your account with the documents and details provided by you. This may take a while to be approved, and the time taken to verify the customers depends on the platform itself.
Transferring your investment money:
In the crypto exchange platform, you will be given a digital wallet. You can transfer your money from your bank account to this digital wallet. You can use the IMPS, RTGS, NEFT, UPI and debit or credit cards to make payments. The same process can be followed while exchanging crypto coins for money. First, you will receive the exchanged money in your wallet, and then you can transfer the money from the intangible digital wallet to your own bank account.
Digital currency exchange platforms apply a minimal charge on investment or while you are exchanging the money. These charges vary depending on the platforms. Different platforms have different rates of charges as fee.
Investing in cryptocurrency is a good idea if you are interested in it and also looking for huge returns, but you will also follow the trends closely, understand the market, study and invest wisely to become a successful investor.