How to Buy Your First Cryptocurrency? [Guía Paso A Paso]

2023-05-31 17:05:02

No matter how you look at it, investing in cryptocurrency is dangerous. A general rule of thumb is that high-risk assets should not account for more than ten percent of your total holdings. So much so that if it is the first time you invest, having stock and bond funds less volatile might be a better option.

But if you ever go through with your decision, there are plenty of platforms to start from. You should choose a platform that is trustworthy, secure, and legitimate. Various platforms offer a good source of information about different cryptocurrencies, their fundamentals and usage, and their potential, so you can decide which cryptocurrency to invest in.

1. Decide where to buy

If you decide to go ahead and invest in cryptocurrency, the first step is to decide where you want to buy your cryptocurrency. Buying crypto can be done in a number of ways, but a centralized exchange is probably the easiest for newcomers to use.

Customers can have peace of mind knowing that their transactions are monitored by a third party to ensure they receive what they paid for when they use centralized exchanges. In most cases, these exchanges sell cryptocurrencies at market values and make money by charging fees for various services.

If you are used to regular brokerage accounts, you can find some online brokers that provide access to cryptocurrency and stock options. An exchange that focuses only on trading cryptocurrencies is what you need. If you’re looking for a place to store your cryptocurrency on a platform like Coinbase, Gemini, or Kraken, you won’t be able to access traditional assets like stocks or bonds.

Although centralized exchanges are easy to use, the amount of crypto that passes through them makes them a tempting target for hackers. decentralized exchanges with cheaper costs than centralized platforms are available for more experienced users. They may be more difficult to operate and require a higher level of technical expertise, but the lack of a single point of failure makes them potentially more secure. It is possible to exchange cryptocurrencies through peer-to-peer transactions.

Over the years, cryptocurrency has proven profitable due to the long list of people who have stories about its journey, from minimal investment to winning millions. However, the journey to where they are now is not an easy one; due to market volatility and countless hackers and scammers, not to mention the skills and knowledge you must possess. Fortunately, platforms like Immediate Connect help newcomers to crypto by connecting them with trusted brokers that offer the best trading opportunities and ensure a safe environment away from fraud.

2. Select a payment method

You will then need to choose a method to pay. You will find that the most popular cryptocurrencies can be bought in fiat currencies such as the US dollar, even though there are hundreds of cryptocurrencies. You will probably need to use your ordinary bank account to buy crypto for the first time.

An experienced investor may wish to trade part of their current cryptocurrency holdings for a different type of cryptocurrency, such as Solana for Bitcoin.

3. Make sure you have enough money

You should also make sure you have money in your bank account. It seems like a no-brainer, but in order to buy cryptocurrency, you may need to fund your account first, depending on how you want to pay. Most exchanges offer bank and debit transfers if you use fiat cash. In some cases, you may also be able to use your credit card to make a transaction, although this can be problematic when dealing with a volatile commodity like cryptocurrency.

It is possible to use cryptocurrencies that you already have in a digital wallet or elsewhere to fund your trading account. Check that the assets you are considering can be traded on your crypto exchange. Some platforms have more trading partners than others, and not all cryptocurrencies can be traded directly with each other.

Please review all of your options before finalizing your purchase, as the costs associated with exchanges are subject to change based on what you are buying and how you are buying it.