Cryptocurrency has become an increasingly popular fixed asset for investors. Despite its volatility, investors seem ready to jump on the crypto bandwagon. The reason for this is the good returns. The most popular cryptocurrency is Bitcoin, followed by Ethereum, Dogecoin, and others. Investing in cryptocurrencies can be a complex and arduous process, with various mathematical algorithms and technologies to delve into. For beginners, the easiest way to participate in trading is through cryptocurrency exchanges. This process is a convenient and easy way to begin your journey.
A cryptocurrency exchange is a platform where you can buy or sell all types of cryptocurrencies. Unlike the stock market, the cryptocurrency market works 24 hours a day, 7 days a week and is self-regulating. Here are some tips to get you started trading cryptocurrencies:
1) Picking A Crypto Exchange
The first step is choosing a suitable trading platform to open an account. In India there are different platforms like BuyUCoin, CoinSwitch Kuber, WazirX etc.
2) Uploading Documents And KYC
Like any regular bank account, cryptocurrency accounts require documents such as proof of address, proof of identity, PAN card, etc., which ensure that your account is legitimate and protect you from fraud. Along with your personal information, you will also have to provide payment options. The specified payment option will be used for all of your business activities related to withdrawals and deposits.
3) Trade Orders
Usually, you cannot start trading soon after depositing money and uploading documents. The exchange takes a while to verify your credentials. It notify users when the process is complete. Since the crypto market is open 24/7, you can trade anytime. You can keep the purchased cryptocurrency in a digital wallet or withdraw it as cash.
4) Begin With Small Investments
Since the cryptocurrency market is very volatile, it is advisable to start with small investments. Do your research properly. Increase your investment when you completely know yourself with the market.
5) Pick One Crypto
Approach the market with caution at first and buy the coin you feel most confident about, follow your decision and monitor your progress before adding to your portfolio.
