Different Cryptos to Invest in
Investing in cryptocurrency has been the primary method of money-making in the crypto market.
Not taking this opportunity would be wasteful. The Winkelvoss twins became the first Bitcoin billionaires by investing $11 million in 2011. That does not mean it is too late for you to try different options.
What you choose to invest in is entirely up to you! Most people look at the big cryptos as they are established and carry less risk.
Investing can be as small as $20 or a thousand times larger if you wish.
Typically, you will find that the experienced crypto investors are involved in a small range of currencies – some new and some established.
You are free to support any cryptos that catch your eye. This is opposite to trading which relies on platforms providing you access.
You will be hard-pressed to find reliable platforms that offer trading on new currencies.
The process of creating a new crypto, to then have it widely adopted, is no easy task. Many investors have gambled on new coins that have no guarantees of progress.
One option you do have as an investor is to know about an ICO.
What is an ICO?
ICO stands for Initial Coin Offering. This is the terminology used for kickstarting projects using cryptos.
Let’s say we started a currency – Coin4Noobs.
If we launched an ICO, we would offer you our new currency. In exchange, we receive money or other cryptos, such as Bitcoin. We would crowdfund with our ICO until we met our goal to carry on with development.
The hope is for the currency to be adopted, therefore increasing its value.
As an investor, if you do your research and come across a coin or blockchain platform that you think will succeed, you can invest early through an ICO.
This is a tricky landscape, however, as the legitimacy of these crowdfunding projects cannot be guaranteed.
It is vital that you always keep in mind that regulation is scarce in the cryptocurrency world. You are responsible for yourself in this landscape, so be careful, please!
This is why we believe in a more balanced approach that reduces risk.
In a corner of the market that is still discovering itself, it is important to protect yourself. You must be realistic about any potential risk you take.
Trading cryptos gives us a more measured approach that still enables us to profit from price movements. All while using a skill set that exists in other markets (e.g. Forex Trading).
Established and well-known brokers are not going to tarnish their reputation. Don’t give your money to an entity you don’t trust.
Why Trade/Invest Vs. Mining?
Trading cryptocurrencies has many similarities to forex trading. If you are an experienced forex trader you will find that your trading skills are applicable to crypto trading.
But don’t worry if you aren’t a forex trader, by no means is it a necessity to already have these skills.
Analysis of price and its movement is essential to trading and we will teach complete beginners how to master crypto trading!
Mining is another option. It is not a practical endeavour, however, and it also feels unfamiliar to many people.
Having a room full of equipment worth thousands of pounds, that is in constant need of maintenance and 100% uptime requires dedication and time that trading doesn’t force upon you.
If you are a tech savvy person who has done a lot of research and have the spare money to invest in this, perhaps mining is for you!
However, not all mining setups are universal in the equipment that you need. This is not a flexible arrangement. It can force you to stick with one crypto due to your equipment.
Some currencies require specialized parts used only in mining that specific coin. Flexibility in the crypto world is essential at such an early stage and this is achievable with trading.