One market that is growing at an incredibly significant rate is the cryptocurrency market. New coins are being created every day and it can be difficult to know which exchanges can be trusted and which ones offer the best rates for each coin. You need to understand that crypto exchanges are the on and off-ramps for every cryptocurrency transaction and you can trade your bitcoin, ethereum, or any of your other altcoins for fiat currencies such as the USD or the EUR and vice versa. Selecting a trusted crypto exchange is the first thing that you need to do to enable your bitcoin holdings and it can be a challenge to know what to stay away from. The good news is that there are many sites, such as The Money Mongers, which recommend the best exchanges to use, like Phemex for example. Here is a guideline that will help you make the best possible decision for yourself.
Gain a general understanding of cryptocurrency
Cryptocurrency is virtual or digital money that does not and cannot exist in a physical form. Instead, cryptocurrency has only existed electronically. Cryptocurrency serves the same purpose as ordinary money and it can exist in any currency such as dollars, euros, pounds, yen, etc. An individual can use cryptocurrency to purchase goods and pay for services and it uses an online ledger that has strong cryptography that makes online transactions very secure. If a person wants to transfer money to another account, they use something called cryptocurrency wallets. If you are interested in investing in cryptocurrency it is fairly simple, all you need to do is follow these steps:
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Select a crypto exchange or a broker.
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Create an account and verify it.
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Make a cash deposit to invest.
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Make your cryptocurrency order.
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Choose a storage method.
You also have the option to invest in companies that have a connection to cryptocurrency. There are a few misconceptions about cryptocurrency and the most common ones are:
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That it is anonymous
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That it is unregulated
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It is not taxable
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It’s not related to blockchain
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It’s illegal
Before you decide to invest in cryptocurrency, there are a few things that you will need to consider. Firstly, you need to make sure that you do not invest more money than you can afford to lose, you also need to do your research and keep in mind that if something sounds too good to be true, it probably is. You can spend your cryptocurrency directly on the following:
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Overstock
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Virgin galactic
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Save the children
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Microsoft
Research the exchanges reputation, location, and security features
When it comes to security, you need to ensure that the exchange’s web address starts with HTTPS and you should avoid connections that are HTTP. Logins should also offer 2 step verification and the deposits of the customer must be stored offline in “cold storage”. To maximize security, you should whitelist your withdrawal wallet addresses or IP address. Always use an exchange from the country you are in and ask yourself if the exchange makes it known who the author is, their headquarters address, and team members? When the exchange is transparent, the cold storage address is published. These are just a few things to keep your eye on so that your money does not get stolen. You should also read reviews..
Read up on the company’s policies and procedures
Before you sign up, it is important to read the company’s policies. To secure your cryptocurrency, always keep a strong password, maybe even 2 passwords, and have multi-factor authentication. You also need to ensure that you are working with a reputable cryptocurrency wallet and exchanges and you can do this by researching the platform’s security features. Cryptocurrency is considered to be very secure but if you find yourself in a situation where you have lost funds, you can report it to BrokerComplaintAlert and they will recover your scammed funds. Another option is to hire Atrium Forensics, they are one of the companies that recover cryptocurrency and other funds.
If you are considering venturing out into the world of cryptocurrency, now you can do it.