For many, investing is a taboo subject. We all know we should be doing it to save for retirement and improve our lives, but most don’t know where to start, and end up putting it off for years. At CoinMatic, we want you to have the tools and knowledge to become a successful cryptocurrency investor as soon as possible. If you’re new to cryptocurrency investing, or investing altogether, this blog will provide you with some insights and a bunch of resources to help you get started in just a few days.
Know the Basics
Before you invest, it’s incredibly important to understand what you’re getting yourself into. Even if you plan on trusting your investment with an experienced advisor, it’s vital to do your preliminary research and understand the basics of investing. We recommend sitting down and spending a couple or hours perusing online resources to learn more about investing.
Begin by researching the intro-level terminology of investing. You’ll need to know how it works, who to trust, and the risks involved. It will also be important to understand basic financial terms. Great resources for anyone new to investing are Investopedia’s Financial Dictionary and our CoinMatic blog on the importance of investing. These resources will provide you with an introduction to the world of investing, without making you immerse yourself in the details. You shouldn’t have to dig deeply just to understand the basics, so at CoinMatic, we strive to make investing as accessible and easy as possible for newcomers.
Next, you’ll want to gain an understanding of the asset in which you wish to invest. In our case, the assets are cryptocurrencies like Bitcoin and Ethereum. Before you go down a rabbit hole, these articles will give you a great understanding of crypto in just a few clicks: crypto dictionary, https://bitcoin.org/en/how-it-works, https://www.investopedia.com/terms/b/bitcoin.asp
Set Your Boundaries
Once you understand the basics of investing, it’s time to move on to setting your boundaries and formulating a strategy that suits you. The most important part of this step in the process is to decide on the risk level with which you’re comfortable. Your desired level of risk will dictate your investment strategy. Knowing how much you’re comfortable losing, and the likelihood that it will occur, is important to crafting the right strategy. For cryptocurrency, your desired risk should dictate what coins you purchase, how much you spend, and when your positions should be closed. To better understand how to set your boundaries and strategy, check out these helpful articles: https://www.investor.gov/introduction-investing/basics/what-risk, https://www.finra.org/investors/highlights/what-you-should-know-about-bitcoin, and https://www.investopedia.com/investing/investing-strategies/
Enlist the Experts
By now you should have a basic understanding of both investing and cryptocurrency, including the risks involved and the strategy you might like to enlist. At this point, you should be ready to reach out to a trusted advisor or investment service to begin trading. This step requires its own preliminary research, as you’ll want to partner with a trustworthy expert to help you start investing. CoinMatic offers cryptocurrency investment advising at an affordable price, designed for all levels of expertise. We set up, allocate and continually fine-tune a cryptocurrency portfolio tailored to your desired level of risk. We also have a team of experts on hand, as well as helpful tools and resources to get you started. In terms of cryptocurrency investing for beginners, CoinMatic is unrivaled.
Manage Your Investment
If you enlist the help of CoinMatic or another advisor, this step will be much easier. Your cryptocurrency advisor will scan the market for opportunities and watch over your investment, so you don’t have to. We already know the most lucrative coins available and are passionate about getting the most out of the market each and every day. Once you have a portfolio, the rest of the heavy lifting is entirely on us — you just watch your investment grow. If you choose to go at it on your own, a direction we don’t recommend for newcomers, then you’ll be tasked with designing your strategy, allocating funds and managing your portfolio on your own. While this is doable, it often makes sense for new investors to seek out a trustworthy advisor. Whichever route you take, we hope this guide helps you get ahead of the curve and understand what you need to know to start investing in less than one week.