[ad_1]
Whether it’s the idea of ​​cryptocurrencies themselves or the diversification of their portfolio, people from all walks of life are investing in digital currencies. If you are new to the concept and are wondering what is going on, here are some basic concepts and considerations for investing in cryptocurrencies.
What cryptocurrencies are there and how do I buy them?
With a market capitalization of around $ 278 billion, Bitcoin is the most established cryptocurrency. Ethereum ranks second with a market capitalization of over $ 74 billion. In addition to these two currencies, there are a number of other options, including Ripple ($ 28 billion), Litecoin ($ 17 billion), and MIOTA ($ 13 billion).
As the first market participant, there are many exchanges for Bitcoin trading around the world. BitStamp and Coinbase are two well-known exchanges based in the United States. Bitcoin.de is an established European exchange. If you are interested in trading other digital currencies besides Bitcoin, then you can find all digital currencies in one place on a crypto marketplace. Here is a list of the exchanges according to their 24-hour trading volume.
What options do I have to keep my money?
Another important aspect is the storage of the coins. One option, of course, is to save it on the exchange where you buy it. However, you need to be careful when choosing the exchange. The popularity of digital currencies has meant that many new, unknown exchanges have popped up everywhere. Take the time to do your due diligence so you can avoid the scammers.
Another option you have with cryptocurrencies is that you can save them yourself. One of the safest ways to keep your investment safe is with hardware wallets. Companies like Ledger also allow you to store bitcoins and several other digital currencies.
How is the market and how can I find out more about it?
The cryptocurrency market fluctuates a lot. The volatility of the market makes it more suitable for a long term game.
There are many established news sites reporting on digital currencies, including Coindesk, Business Insider, Coin Telegraph, and Cryptocoin News. In addition to these sites, there are also many Twitter accounts that tweet about digital currencies, including @BitcoinRTs and @AltCoinCalendar.
Digital currencies aim to disrupt the traditional currency and commodity market. While these currencies still have a long way to go, the success of Bitcoins and Ethereum has proven that there is real interest in the concept. Understanding the basics of cryptocurrency investing will help you go in the right direction.