If you’re wanting to start investing in cryptocurrency but are finding the process quite difficult, you’re in the right place! We’re here to break down the process into four main steps to make this more manageable and to help you move in the right direction when it comes to investing in crypto.
Table of Contents
Research, Research, Research!
The first thing you need to do when it comes to learning about cryptocurrency is to do your research. If you read a couple of articles or watch a few videos and then feel like you’re ready to start investing, then you’re unlikely to make good or safe investments. So, you must spend a good amount of time researching the different cryptocurrencies and investment options, to make an informed decision about the right direction to go in. You should also make sure that you look into cryptocurrency exchanges at this point. It’s so worth spending an hour a night for a few weeks researching before you jump into investing, and it’s also important that you don’t just rely on one source, but read a variety of sources to help you get a well rounded understanding of how everything works.
Choose A Reputable Cryptocurrency Exchange
The next thing you need to do is choose a reputable cryptocurrency exchange. You need to do your research and choose one out of around 500, looking at the security, fees and cryptocurrencies offered. Once you’ve narrowed down a list (there are quite a lot of websites who introduce the best and most reliable ones), then you need to dig deep and look into the company, particularly looking for an established history, verified employees and also relevant white papers. We’ll get onto how to be aware of common crypto scams, however looking out for signs here is key.
Set An Investment Limit
Another vital step in all of this is to set an investment limit for yourself. When you start investing things might go well to begin with and it can be really easy to invest more and more, however cryptocurrency can be very volatile, and so you only should be investing money that you can afford to lose. Being sensible and patient at the beginning of your journey, as well as throughout, will help you to make better investments.
Be Aware Of Common Scams
Lastly, you should make sure you’re aware of common scams, which are all over in the world of cryptocurrency. If you’re ever targeted with intense marketing, extravagant claims, offers of huge returns or free money, or celebrity endorsements, then you need to be extremely wary. If you’re ever sure, simply don’t invest, as if something seems too good to be true in the world of cryptocurrency, unfortunately, it usually is too good to be true. Often these scams will involve some kind of Revolut scam, as the institution is less inclined to help people who have lost money this way. Instead, do your own research, become a great trader and naturally you will make money as a result of your well informed decisions. Quick wins in cryptocurrency trading usually doesn’t end very well, so take your time.
