10 Reasons to Invest in Cryptocurrencies!
A crystal clear guideline to decide investing in cryptocurrency
I guess you are not a newbie in the field of cryptocurrency. If you are, please take some knowledge which is about frequently asked questions about cryptocurrency from here.
Let’s know about the 10 reasons why one should invest in cryptocurrency.
1. Control over assets
The cryptocurrency world is essentially a decentralized platform where users have complete control over their assets. Without the attachment of a third party, you can store and own your asset.
This one is quite different from a traditional bank. In the traditional way, the third party plays a powerful role in the ownership of the assets. In crypto, the asset is not determined by an exchange house or a middleman and so, the traders have full freedom to get the maximum profits on their own.
2. Easy to Start
While the technology behind the cryptocurrency seems a bit complex and not easily understood, the mode of investment is a lot easier.
First of all, If you are a beginner in investment, you should consider cryptocurrency for a fractional part of your investment portfolio.
Secondly, there are many forms of crypto out there. Do your essential research and choose the reliable one by considering its price history and price fluctuation.
Bitcoin can be kept at the top of your priority list even if you invest a tiny fraction of your bitcoin. This one can be chosen for its low volatility and if you survive in the long run.
In addition, sign up for an account at Coinbase, Gemini, or Binance which is a trustworthy exchange forum, and try to familiarize yourself with the basic crypto by investing a few dollars.
In the future, cryptocurrency wallets will be needed to store your currency either to be stored on your desktop, mobile, or an external hard disk like a USB card. Alternatively, you can create a wallet in the cloud and data will be stored there.
3. Acceptance is increasing
Cryptocurrency seemed an incomprehensible idea just a few years ago. People also claimed its legitimacy. How could this invisible, virtual form of currency generate any value in the real world?
Even today some centralized financial markets doubt it’s fake or not. However, the growing number of merchants’ acceptance of crypto makes it more prominent and established across the world.
In other words, it’s now possible to walk into a store and pay from your crypto wallet by simply transferring from your wallet. Now, there are more commerce websites and businesses that accept cryptocurrency all the time which added real-world value to these digital tokens.
4. Blockchain is incredibly sustainable
By default, blockchain transactions are encrypted, signed with a private key, and validated with a public key. As a result, the technology cannot be hacked. One of the most persuasive reasons to invest in bitcoin is this.
5. Secure Exchange Options
Cryptocurrency exchanges have had their issues in the past. In 2014, one of the worst scams happened. That’s why approximately $350 million had been stolen during that time.
Many people’s assumption was that would be the end of crypto. It wasn’t, of course. These days exchanges have more security and are decentralized nowadays. In addition, serious exchanges also refund victims if they are hacked.
6. High Returns
We all want to make profits from our investments. Profit-making is the major reason that influences people to invest in crypto. The chances of a high return compared with investment in stocks are higher. One can make a huge amount of money due to its high volatility.
Volatility exists in both directions. It is also possible to lose everything. So, a risk management strategy is more important to minimize risks and make a sustainable plan for that.
7. More Transparent
Security and transparency in a transaction are one of the most important things. Cryptocurrency ensures both.
Although some people attached to cryptocurrency have involvement with illegal activities and scams, many people are going to crypto trading because of blockchain technology.
Major cryptos are open source. That means anyone can access and view everything easily.
8. Bright Future
We are living in an exciting time when cryptocurrency is gaining popularity and wide acceptance. A lot of financial experts stated that individuals, as well as corporate organizations and institutions, are moving their assets from traditional banking to the digital blockchain space.
In the Metaverse age, the future world is pursuing virtual reality, which will be fueled by cryptocurrency. The development of NFTs (Non-Fungible Tokens) is propelling the arts to new heights. All these are supported by crypto coins.
9. More Flexible and Independent
The cryptocurrency market is open 24 hours a day, seven days a week. You can open and close a transaction at any time. You can organize your time and your trading routine can also be set according to your choice. You have the option of trading full-time or part-time. That much autonomy is provided by cryptography.
You can decide how much money you want to invest and when and how you want to buy or sell. You don’t have to rely on any bank or medium for it. Crypto is that much flexible.
10. Low Transaction Cost
Physical institutions like banks need to pay their employees, give rent to the buildings, and need to pay utility bills. That’s why it is quite understandable that they impose transaction fees and taxes on every payment. But cryptocurrency is blockchain-based. Since they are online-based, it comes with lower transaction fees and makes businesses opt for them more.
Bonus:
1. The vast range of choices
When you want to invest in any field, you want to have a wide range of choices. In cryptocurrency, you will get more than 2000 diverse choices for your investment decision.
Being a newbie, you don’t have to think too much. You can pick one from the top 10 or 20 and start investing. Don’t restrict yourself to buying in one crypto. Diversity is essential in crypto investment.
2. Good for long Term
The value of cryptocurrency can be increased by thousands of percentages and thus can be a good source for your savings during your retirement stage or give you a much-needed financial buffer during an economic crisis.
Due to its extreme volatility, Long term investments seem extremely beneficial and provide you with a huge amount of money.
Hi, I am Rajesh Ghosh, a Freelance Content Writer. I am writing on versatile topics, especially Finance, Health, Wellness, Travel, Psychology, and Cryptocurrency.
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