Cryptocurrencies are booming. And that is not surprising when you consider that with cryptocurrencies you can sometimes achieve hundreds of thousands of percent in return in a short time. But how exactly can you invest in cryptocurrencies and which cryptocurrencies are there? You can read all about it in this special article!
Investing in cryptocurrencies: how do you do that?
Cryptocurrencies such as the Bitcoin and Ethereum are highly volatile. This means that the price can fluctuate a lot in a day. You can benefit from this as an investor. It is in fact possible to take advantage of both the down and up movements. To do this you need an account with a broker who supports cryptocurrencies.
One of the best cryptocurrency brokers is Plus500. With Plus500 you can trade in all known cryptocurrencies without having to pay a fixed commission. In addition, it is possible to practice as much as you like with this provider by means of a free demo account. For example, if you want to invest in the Bitcoin, Plus500 is a good option.
- Practice first with an unlimited free demo
- Pay no commissions on your investments
- Earn money even when prices are decreasing
Investing in cryptocurrencies can be done with a simple mouse click!
But what are cryptocurrencies exactly?
Before you start investing in cryptocurrencies, it is important to understand exactly what they are. Cryptocurrency stands for encrypted money. You can see it as a digital form of payment where there is no central party that manages the currency. Cryptocurrencies can therefore eliminate the drawbacks of traditional money because they are completely traded via the internet. It is not possible to receive physical crypto coins or bills.
What is unique about cryptocurrencies is their special functionality. The Bitcoin, for example, is a completely decentralized currency. This means that no bank is involved in a transaction. When you transfer money to another person, this will be transferred directly to the other person. Because a third party is no longer needed for transactions, the costs can be reduced and the speed can be increased. This is of course very advantageous.
Some of the advantages of cryptocurrencies
- Cryptocurrencies are fully decentralized
- Transactions can be made faster and cheaper
- Transactions are often difficult to trace or untraceable
- Cryptocurrencies are increasingly a valid method of payment
In which cryptocurrencies can you invest?
On trading.info you can find information about all major cryptocurrencies. In this article you can read briefly what each cryptocurrency is exactly. If you click through you can find more information about the specific cryptocurrency. You can then also view the current price and start investing in the relevant currency.
Investing in Bitcoins
The largest and most well-known cryptocurrency is still the Bitcoin. The Bitcoin has already achieved many records and the price has risen to thousands of pounds. The Bitcoin is also increasingly accepted as a payment option. These developments make the Bitcoin an interesting investment option. Click here to read more about Bitcoin >>
Trading In Ethereum
Another big cryptocurrency is the Ethereum. Unique to the Ethereum is that the coin can also be used to execute smart contracts. It is precisely these unique possibilities that give the Ethereum extra reason to exist. It can therefore be very interesting to invest in the cryptocurrency Ethereum. Click here to read more about the Ethereum >>
Investing in Litecoin
Another currency is the Litecoin. The Litecoin is also a highly volatile currency. As an investor you can benefit from these huge fluctuations by selling or buying at the right time. It may therefore be interesting to also trade in the Litecoin. Of course we have also published an article about the Litecoin. Click here to read more about the Litecoin >>
Investing in Dash
Dash is also a cryptocurrency that is slightly different from the Bitcoin. An advantage of Dash is that the confirmation of transactions goes directly. In addition, the Dash offers greater privacy and there is a common pot that is used for the development of special projects. All this makes the Dash an interesting investment. Click here to read more about investing in Dash >>
Getting started with Ripple
The Ripple has some unique characteristics for a cryptocurrency: the currency is not entirely decentralized. There is a central party that determines how many Ripple coins are on the market. The focal point of the Ripple is reducing the transaction costs to other countries. Of course there is a great demand for this and this makes investing in Ripple interesting. Read more about it here >>
Investing in NEO
NEO may sound like an interesting movie name. However, it is also a cryptocurrency. With the NEO, as with Ethereum, contracts in which computer logic can be applied are the focal point. The NEO, however, focuses more on Asia as a target group, which can contribute to the further growth of this currency. Investing in the NEO can therefore be profitable. Read all about it here >>
Monero as an investment
Monero is a new digital currency with which it is possible to perform 100% anonymous transactions. This is because no information about the sender or recipient is sent with the transaction. Whether you are a criminal or a good citizen: anonymity is ultimately a great thing. Monero can therefore be an interesting investment. Read more about it here >>
Bitcoin Cash as fork
Bitcoin Cash is the first fork of the Bitcoin. A fork is an event where an original crypto coin is split up. This happens when people cannot agree on a particular functionality of the currency. The Bitcoin Cash has already built up a nice position and it can be interesting to invest in it. Read more about it in the article >>
Bitcoin Gold as fork
Bitcoin Gold is also a fork of the original Bitcoin. The key point of Bitcoin Gold is that the mining of the currency must be decentralized again. Obtaining a Bitcoin under the current system would require too much computational power. Bitcoin Gold must make the system fairer again. Look here to see if investing in Bitcoin Gold is interesting >>
Investing in cryptocurrencies
When you decide to invest in cryptocurrencies, it is important to stay sharp. Do not just go along with the hype and do not buy all sorts of coins en masse just because the crowd is doing this. In the long term, some coins are likely to lose money and it is annoying to lose a lot of money in the event of a crash. Do enough research on the different coins and only invest with money that you can really afford to lose.
In this way, investing in cryptocurrencies cannot only be profitable, but also very fun!