How To Invest In Cryptocurrency?
Investing in cryptocurrency can be incredibly profitable if you know what you’re doing, but it also comes with its fair share of risks. How to invest in cryptocurrency can be tricky. Never put more money into an investment than you can afford to lose without having an adverse effect on your lifestyle and future goals.
– Open a digital wallet. First things first: if you haven’t already done so, open up an account with one of several online digital currency exchanges. In particular, I recommend Coinbase because they offer mobile apps for iPhone and Android devices. Once your account is set up, confirm all banking information by uploading official documents (like a government-issued ID). Also take note of two security questions (like what was your maternal grandmother’s maiden name?) that will come in handy should you forget your password. Of course, not everyone will be able to invest with ease; some countries are less lenient toward their citizens using cryptocurrencies like Bitcoin.
– Get Bitcoins. Because Ripple doesn’t trade on popular cryptocurrency exchange sites such as Bittrex or Bitfinex, you need to buy BTC/ETH with fiat currencies instead. Luckily, these platforms let you use US dollars (USD), euros (EUR), pounds sterling (GBP), and Swiss francs (CHF) —to name just a few—for payment.
– Buy Ripple (XRP). Once you’ve purchased your desired cryptocurrency, you can move on to step three of my How to invest in cryptocurrency guide. Simply sign up for an account on an exchange like Binance and deposit some BTC/ETH into your account. After that, select whichever coin you wish and look for its XRP pair. You can then proceed with a trade. To minimize trading risks while maximizing profits, spread out your trades over several exchanges at once by setting buy orders at different prices.
– Store your coins. Now that you’ve purchased Ripple (XRP), how do you store it? Well, I recommend using a hardware wallet like Ledger Nano S. It’s small enough to be carried around on your keychain and secure enough for safe storage of all of your crypto-assets. How does it work? Each time you want to access your crypto-cash, simply connect Ledger Nano S via USB and input a PIN. Then press any button on the device to confirm your action; if correct, enter another pin for confirmation. Easy! You can check out our complete guide here: The Complete Guide to Keeping Your Cryptocurrency Safe.
– Withdraw cash. At some point, you’ll probably want to withdraw some or all of your digital currency into fiat cash—this is when that second security question comes in handy.
– Open a brokerage account. Once you’ve managed to convert your digital currency into cash, I recommend you open an account with an online brokerage. These types of financial platforms are ideal for investing in stocks and other marketable securities.
– Start trading! So now that you have a brokerage account, it’s time to start trading cryptocurrencies like Ripple (XRP). The easiest way is by using limit orders. To get started, input your buy/sell prices at which point software will execute said transaction when price reaches or falls below said value respectively.