Investment is a well-known method of producing money, as well as our method of generating passive income. So, when it comes to investing, they have a long-range of assets, commodities, and cryptocurrencies to choose from. However, the phrase “invest” is always hazardous, but it may also be lucrative if we select the correct option and the appropriate moment.
Cryptocurrencies, like any other asset or commodity, will flourish in their own unique way. When it comes to cryptocurrencies, though, the first name that comes to mind is Bitcoin because it was the first cryptocurrency presented to the world in 2010. Within 5 to 7 years, or by 2017, the world of cryptocurrencies just blew up the market with a huge list of cryptocurrencies and websites related to it, such as coin remitters and many more that are providing services revolving around it.
So, why pick cryptocurrencies to invest in? One of the reasons is that it has a large list of currencies, giving us a wide range of options to invest in. Let us look at all of the reasons why anyone should invest in cryptocurrencies.
Why invest in Cryptocurrencies?
As I said earlier, coin remitters, we feel that cryptocurrencies are the current way to go ahead in terms of finance, and it is not too far away that large banks will end up collaborating with blockchain technology to develop a better global financial system. The major reason why consumers or larger companies are interested in cryptocurrencies is because of their transparency and low fees when involved with fiat cash.
Here’re some of the main reasons you should consider as an investor if you want to invest in cryptocurrencies.
Cryptocurrencies have low investment barriers: Having low investment obstacles implies that you can invest in small fractions, allowing anybody to participate and allowing you to build a fantastic and varied portfolio.
Transparency: When it comes to blockchain transactions, everyone has access to and can see them. This provides everyone involved with an open, or omniscient, degree of information.
Fees: When compared to stock trading or other asset classes, cryptocurrencies have much cheaper trading and transaction fees.
Liquidity: One of the biggest advantages of cryptocurrencies exchange and broker is that they are accessible Weekly, 24 hours a day, allowing you to purchase, trade, and sell whenever you want.
Now that we have covered the reasons why you should invest in cryptocurrencies let’s talk about which cryptocurrency is the best to select as an investor.
There is a wide variety of cryptocurrencies available on the market, and the number is rising all the time. However, there is one main currency on which you should concentrate your efforts. So, let’s have a look at what those currencies are.
Bitcoin is the first and most significant cryptocurrency; it is one of the most invested cryptos since it was the first cryptocurrency the world learned about, and at the rate, it is expanding, it is drawing the most investors with a market cap of $647.2B.
Bitcoin The future as an investment should be remembered in the mind of another important event, the May 2020 Bitcoin halving, which decreases the number of new coins created by the network. For many Bitcoin supporters, the rising scarcity is precisely what underlies the cryptocurrency’s true value.
Ethereum is a cryptocurrency to bear in mind when investing. Ethereum is a decentralized global platform that was created in 2015 and is fueled by its currency, ether. With a market cap of more than $122.6 billion, Ethereum is the second-largest cryptocurrency platform in terms of technology and investment potential.
Tron Foundation created Tron on Ethereum to address the issue of a few large businesses dominating the Internet. Tron moved to its blockchain in 2018, consolidating its leadership and positioning itself as a key rival to Ethereum. Tronic (TRX), Tron’s native cryptocurrency, is presently worth $0.0336 per coin.
Litecoin is also one of the top cryptocurrencies to consider. Litecoin, launched in 2011, just a few years after the birth of Bitcoin, was one of the first altcoins, or alternatives to Bitcoin, often known as the light version of Bitcoin. It has a market capitalization of $9.2 billion.
Bitcoin Cash is one of the most popular Bitcoin variants. Bitcoin Cash was created in 2017 to address Bitcoin’s scalability issue. At the height of the crypto age in 2017, Bitcoin Cash hit $4.091. Even during the epidemic, it maintained the top time on the coin market cap at $8.9 billion.
These are some of the most popular cryptocurrencies to invest in, but it is up to you to decide that what type of investor you want to be and how large you want to be.
In this article, we discussed how cryptocurrency became popular and how much it has grown over time as a digital currency, how some websites such as coin remitters have started services related to that, and why any investor should consider investing in cryptocurrencies, most importantly which top cryptocurrencies you should invest in and what their potential growth is at this time. When it comes to investing in cryptocurrencies, as in another asset, there is a high investment of risk involved. Therefore whichever cryptocurrency you choose to invest in, invest only what you can afford.