If you’re unsure about investing in Cryptocurrency, you’re not alone. Cryptocurrency is an incredibly new and unique market that many people aren’t sure how to approach.
However, if you take the time to do your research and learn about Cryptocurrency, it may just be worth your while to invest in it now.
Here are four reasons why investing in Cryptocurrency could be the right decision for you.
1) The decentralized technology
Some people are wary of investing in Cryptocurrency because of its decentralized technology.
In other words, it’s not regulated by a bank or government-so it doesn’t come with FDIC insurance like savings accounts and bank accounts do.
While you don’t have as much protection from fraud as you would with a traditional account, cryptocurrencies can still be safer than keeping your money under your mattress.
There is no one person who has control over your money in crypto; instead, thousands of computers around the world keep track of all transactions using blockchain technology.
People all over the world can invest in Cryptocurrency if they have a computer and an internet connection. No matter where you live, you can take part.
And because it’s so accessible, many speculate that we’ll see widespread adoption soon.
For example, both Venezuela and Zimbabwe are suffering from high inflation rates due to their governments’ reckless fiscal policies.
As a result, people are turning to cryptocurrencies as an alternative store of value.
3) Cryptocurrency is not going away anytime soon
Despite its perceived threat to current monetary institutions, Cryptocurrency is likely here to stay.
Over time, it could revolutionize our economic system and render banks obsolete. Just think how much money and time could be saved through more efficient digital transactions.
Whatever your opinion on cryptocurrencies may be, you should take a closer look at what they are and determine whether or not you want to invest in them.
Especially if you’re currently working as a personal financial advisor or financial consultant.
4) Big players are getting involved
Most recently, Facebook has said that it is opening a new blockchain group. This follows other tech giants like Microsoft and IBM, who have already developed blockchain projects on their own.
For example, IBM has partnered with Stellar Lumens to develop a cross-border payments system called Blockchain World Wire.
Microsoft uses blockchain technology with its decentralized identity system, Blockchain ID.
How to Invest in Cryptocurrency
There are many ways to invest in Cryptocurrency. In fact, there are so many that it might feel a little overwhelming.
If you’re new to Cryptocurrency and trying to figure out how to start investing, you can do a few different things.
- Buy Sol: If you’re interested in purchasing Cryptocurrency, you can buy it directly. One of the most popular forms of Cryptocurrency is Solana, and it’s available on several exchanges.
Coinbase is one of these exchanges, and it allows you to purchase Bitcoin instantly with a credit card or bank account.
You can also purchase other cryptocurrencies like Ethereum and Litecoin through Coinbase. Once purchased, your Cryptocurrency will be stored on an exchange or wallet that you control.
- Exchange Your Fiat Currency: If you’re interested in trading cryptocurrency but you don’t want to purchase it directly, you can exchange your fiat currency (USD, EUR, etc.) for Cryptocurrency.
This is a bit more complicated than purchasing it directly because you have to find an exchange that will accept your fiat currency and trade it for Cryptocurrency.
- Mine It: If you’re interested in Cryptocurrency but don’t want to purchase it or exchange your fiat currency, you can mine it.
Mining cryptocurrency is similar to mining gold-you have to find a valuable resource and extract it from its surrounding environment.
However, instead of extracting gold from a mountain, you’re extracting Bitcoin from a blockchain.