Cryptocurrencies, digital assets characterized by their security, decentralized character, favorability to privacy and transparency in transactions, and which since their appearance in 2009 have been revolutionizing the world of finance, seem to be one of the most disruptive technologies of recent times, because they offer endless possibilities for commercial development regal assets reviews.
However, even up to this point (almost 10 years later), it is completely normal that you do not know what are the key points to take into account to make your first purchase of cryptocurrencies or start investing in them.
Therefore, we have gathered the 5 key points to make an informed purchase of cryptocurrencies.
Decide which cryptocurrency to invest
Currently, there are more than a thousand types of cryptocurrencies on the market, starting with Bitcoin, with the greatest relevance and history, including Ether (the native cryptocurrency of the Ethereum protocol) and Litecoin among the most relevant. Cryptocurrencies differ in their price, protocols or rules that govern them and usability, among others. Buda.com offers the option to buy and sell four of the world’s most recognized and trusted cryptocurrencies: Bitcoin, Ether, Litecoin, and Bitcoin Cash.
Decide how much to invest in cryptocurrencies
The second step is to know how much you are willing to invest in cryptocurrencies per week or month. It is recommended to separate the amount you want to invest, and pay special attention to when is the most appropriate time to make the investment. If you plan to invest in the long term, the timing may be less relevant. Because these types of assets are still characterized by high price volatility, we recommend allocating a budget that does not greatly affect the pocket.
Sign up for a cryptocurrency wallet
An electronic address is needed to store the cryptocurrencies to be purchased. There are different types of wallets, according to each type of cryptocurrency. Most of them are free and easy to find, searching for “cryptocurrency wallet” in the app store. Also some cryptocurrency exchanges have the wallet service.
Join a cryptocurrency market
Once you have a wallet, you have to join a cryptocurrency market, since that is where the transactions will take place. This is an online platform where you can buy and / or sell cryptocurrencies. Ideally, you should choose one with a good reputation, a large number of users and that has high liquidity (many buyers and sellers)
Buy your cryptocurrencies
After creating an account in a cryptocurrency market, it’s time to start shopping. In general, most platforms are friendly enough to do both cryptocurrency purchase and withdrawal. KNOWING THE ENVIRONMENT
However, if you have not yet made the decision to start investing in them, it is ideal to start with knowing the financial environment and the terms used on a day-to-day basis. In this sense, words like Blockchain –which is the technological platform in which all kinds of transactions are recorded and recorded– or Mining –electronic mechanism through which new cryptocurrencies are issued– are some of the words that you can start to know to help you in the process:
It is important that people who are interested in investing in cryptocurrencies understand and understand the various mechanisms and functionalities of cryptocurrencies so that they can make an informed investment decision.