Start buying cryptocurrency? We explain it to you.
Once you have immersed yourself in cryptocurrency you notice that it is actually not complicated at all. Of course there are some important things you need to know and what to look out for when buying, selling and trading. We give you these important points in an easy overview!
NOTE: Never invest more than you can miss. Cryptocurrency is no guarantee for a good investment, this is and always remains your own choice. Read yourself well
It is important to study at least a bit before you decide to buy a coin. Always keep in mind that there may be organized groups of people who are praising certain coins, purely out of self-interest! If many of us start buying this coin, the rate will rise. And what happens after this sudden rise? The earlier enthusiasts sell their, often large, stocks, so that the price can fall sharply. That is why it is always important to do thorough research on a coin yourself before you buy it. Read what they actually do and where the currency is distinctive, look for information on internet forums and look at the historical course of the price. Certainly the latter is important, if a coin has been reasonably stable for a long time and suddenly has a large peak, it must have reason. If you cannot figure it out, it is better to stay away from this coin.
PLEASE NOTE: So always use common sense and try not to act too much on emotion!
Decide which coins to start with
Have you read well and made a choice? Will it be one or more so-called altcoins such as WAVES, Stratis or Ethereum? Or do you feel better about the founder of cryptocurrency, Bitcoin? You can continue as long as you have read correctly!
NOTE: Do not put more money in coins than you can miss! Cryptocurrency offers great opportunities for growth, but don’t assume that this is a certainty! Take this into account with your choices, for example by spreading and removing (part of) your stake on time.
Opening a wallet
You now know which coins you want to purchase. But where do you put your purchased coins? For this you will have to open one or more wallets. A wallet is nothing but a digital wallet where your coins are stored. You can open a separate wallet for each coin, but there are also ways to store multiple coins in one wallet. What is important when choosing and opening a wallet?
After opening the wallet it can happen, you can buy coins! You now have to look where you can best do this. Some outlets offer multiple coins, others only one. It is also important to look at the exchange rate, or how much BTC or ETH you get for, for example, € 500.
Trading coins on an exchange
Some coins are not for sale but can only be obtained on exchanges, say trading platforms, by trading. Some well-known exchanges are Poloniex and Bittrex. You often have to send Bitcoins or Ethers here first and then trade them for the coin you want. Exchanges offer many opportunities, but it is important to gain some experience before you really start with the so-called “day trading”. That means buying and selling on a daily basis to make a quick profit. The use of exchanges is not without risks, so you should read it before you start!
Because you can still not pay everywhere with cryptocurrency, you will eventually want to convert your bitcoins, ethers and other coins into hard euros. You can read here how this works and where you can best do this.