Investing within the Crypto Currency market are often a touch daunting for traditional investors as investing directly in Crypto Currency (CC) requires the utilization of latest tools and therefore the introduction of some new concepts. So when you decide to dive into this market, you want to have a really good idea of what to do and what to expect.
Buying and selling CC requires you to choose an exchange that will handle the product you want to buy and sell, be it Bitcoin, Litecoin, or the 1,300 other tokens in the game. In previous editions, we briefly described the products and services available on several exchanges to give you an idea of the different offerings. There are many exchanges to settle on from and that they all do things in their own way. Look for things that are important to you, for example:
– Deposit policies, methods, and fees for each method
– Withdrawal Policies and Fees
– What fiat currency do you use for deposits and withdrawals?
– Products they handle like crypto coins, gold, silver, etc.
– Transaction fees
– Where is this exchange based? (USA / Great Britain / South Korea / Japan …)
Be prepared for lengthy and detailed exchange setup procedures because exchanges in general want to know a lot about you. This is akin to creating a new bank account as the exchange is an intermediary of valuables and wants to make sure that you are who you say you are and that you are a person to be trusted. It seems that “trust” is gained over time as the stock market typically allows for little investment.
Your Exchange will keep your CC for you. Many offer “cold storage”, which suggests that you simply r coins will remain “offline” until you indicate that you want to try to to something with them. There was some news that the purse was hacked and a lot of coins stolen. Remember that your coins are in something like a bank account on the exchange, but remember that your coins are only digital and that all blockchain transactions are immutable. Unlike your bank, this exchange has no deposit insurance, so you know that hackers are always out there trying anything to get their hands on your crypto coins and steal them. Exchanges generally offer password-protected accounts, and many offer 2-factor authorization schemes – something you should seriously consider protecting your account from hackers.
Since hackers like to take advantage of the wallet and your account, we always recommend using a digital wallet for your coins. Moving coins between your Exchange account and your wallet is relatively easy. Make sure you choose a wallet that will handle all of the coins that you plan to buy and sell. Your wallet is also the device you use to “spend” your coins with merchants who accept CC for payments. The two sorts of wallets are “hot” and “cold”. Hot Wallet is very easy to use, but your coins will remain open to the internet, but only on your computer, not on the Exchange server. Cold wallets use offline storage media such as dedicated hardware memory sticks and simple hard copy printouts. Using a cold wallet makes transactions more complicated, but it’s the most secure.
Your wallet contains a “private” key that enables any transactions you wish to initiate. They also have a “public” key that is shared on the network so that all users can identify your account when they transact with you. If hackers get their hands on your private key, they can move your coins where they want and it cannot be changed.
Despite all the challenges and wild volatility, we believe that the underlying blockchain technology is a game changer and will revolutionize the way transactions are carried out in the future.
If you are ready to invest speculatively in this disruptive technology and want to receive all current and future recommendations from Crypto TREND Premium, we are keeping our early bird special offer open a little longer to give our readers the opportunity to start with $ 175 off. Stay tuned!