How to keep your cryptocurrency safe

Cryptocurrencies have caused a lot of spike in the last couple of years, and some experts estimate that this will be the future of investment. But, as this technology continues to develop and grow, many hackers see a chance to earn money as well. It has become really challenging to believe someone in a digital world, especially if we are talking about the money. We all remember what happened with the Mt.Gox exchange.

So, if you have already earned you coins, then now it’s the time to keep them safe, and you can only do that if you buy reliable e-wallets. Here are some options for you:

Ledger Nano S

This is a USB sized hardware wallet, which has been specially designed for the cryptocurrency. You need to keep in mind that hardware wallets are expensive, but you get a lot of features in return. This is probably one of the best wallets on the market. It offers you advanced security solutions, such as backing up your private key for the digital currency. You don’t need a computer to use this device. Nano S has a small LCD screen, which allows you to operate your wallet, for example, you can make transactions, exchange cryptocurrency and use the app to transfer money from one account to another. Even if you lose Nano S, you can back up your files and block the theft.

Ledger blue

This is another hardware wallet produced by the same company. Only this one is more advanced. It is bigger in size and supports new options which have never been seen in any digital currency wallet. Considering the features, stylish design and advanced options, Ledger Blue is the most expensive wallet available on the market. With Ledger Blue, you aren’t only getting the wallet to keep your coins, but a professional security device, which has a touchscreen, Bluetooth and USB connectivity. When you look at Leger Blue, it will remind you of a mini iPad, but it’s so much more.

Coinpayments

Coinpayments is a web-based wallet and became very popular when it allowed their users to store more than 75 currencies. The significant advantage of this wallet is that it provides their services for free, you just need to register. Also, this wallet offers visibility; it means it’s accepted by hundreds of online stores. It means you can use your funds to buy things online, not only use it for trading purpose.

Exodus

Traders are thrilled with this e-wallet because it offers the best features out there. Exodus is another online based wallet, which provides advanced features to its users. So, if you are searching for a wallet that excellent graphics, reporting system, unique colors and it’s easy to use, then Exodus is the right choice for you. But, the design is not the only thing this wallet has to offer. Many traders are worried about the safety of their coins, and this e-wallet is a perfect option for you.

Can you trade cryptocurrencies without paying the fee?

A lot of traders are complaining about the outraged fees exchanges are charging. Once you start trading, five dollars here and five dollars there begin to add up after some time. Even though this may seem like a ridiculous amount, but if you spend the entire year trading and making transactions, then you will realize how much money you are visiting on fees. Of course, the exchange you choose plays an essential role in this process because each of them charges the different amount. Considering that some coins have increased in price, the transaction fees can be significant. So, we are going to show you how to avoid costs using the two U.S. most popular exchanges, Coinbase and GDAX.

Avoiding GDAX fees

To start, you will need to open an account and Coinbase and GDAX are linked. So, when you have funds in American dollars, you can transfer money from one platform to the other without paying fees. Next, head over to GDAX website and click the withdraw button and choose the amount you want to withdraw. This should be easy, right? Your next step would be when to buy and which currency you wish to purchase. In this case, you can also use the Market order, the limit order, or a Stop order.

Market order – this will provide you to buy cryptocurrencies at the given value, and this type of transaction will cost you 0.3%, and in this case, you are considered a taker for the order.

Limit order – this type of trading allows you to make the order. It’s a simple procedure; you just put the number of coins you want to buy, as well as the price. When you are using a limit order, you will want to offer the price that is lower than what the current market value is. Also, in this type of order, you are considered a maker and your fee will be zero.

Stop order – stop order is similar to limit order, but in this case, you are selling your cryptocurrencies. So, if you don’t want to risk your money, or you think that market will crash, you just start the stop order which triggers the exchange to sell as many coins as you place, at whatever price you put it at. Again, you are a maker, and you don’t pay fees.

Be aware of scams

Recently, many traders reported losses from fake websites that look like exchanges. So, when you are trading cryptocurrencies, with any exchange, you need to be very careful and make sure you are signing on to the right website. Even if they provide a secure system, you need to know that you aren’t entirely safe. So, when you are looking for an exchange to invest your money, make sure to read the online reviews and compare the experience of other traders. On the other hand, Coinbase is a very reputable exchange in the U.S., but they might not be accepting the traders from all over the world.

Four common cryptocurrency scams

This is probably the highly requested question, considering everyone wants to earn money on cryptocurrencies. But, as with any form of investment, you need to take some risk. The easiest way would be to stay at your home and don’t mess with your hard – earned cash. But, if you have money and you are willing to trade, then we have a couple of advice for you. Here are five common scams, and how to avoid being caught out. Otherwise, it’s going to hit you had, and you may lose all your money.

Suspicious exchanges

As the popularity of digital currencies grows, so as the number of exchanges increases. They all want your attention, and they all want to make you invest money with them. Exchanges directly earn money on fees. However, if you’re going to find a reliable digital currency exchange, then you will have to review them carefully. Even the popular exchanges have known to disappear overnight, taking all your money and coins with them. If you are new to this trading world, you probably haven’t heard about Mt.Gox. This was one of the first cryptocurrency exchanges, and at one point they had over 70% of all bitcoins. In 2014, in February, the suspended all their transactions because 850,000 of bitcoins have been stolen. On this example you can see that trust and reliability in the digital world doesn’t mean too much.

Pyramid and Ponzi scheme

In early 2017, a company based in Mumbai, called OneCoin was giving a sales pitch to some investors. Indian police raided the meeting and jailed 18 OneCoin executives for performing a Ponzi scheme. But, even though, they were arrested they managed to move more than $350 million via payment processor. A lot of investors lost their money in this process. Unfortunately, digital currency is creating new scams every day and using the technology average users never heard about.

Pump and dump

Even the most prominent financial experts have dismissed digital currencies as a scam. Some of them even compare bitcoin with other safe investments, such as gold. On the other hand, others believe this is just a humping and dumping and that exchanges are only earning money. Bitcoin has already established its place in the trading world, so it would be challenging to alter the price. However, smaller altcoins aren’t so resistant to humping and dumpi

g. In this case, the exchanges are increasing the volume of trades, but the price stays the same.

ICOs

This is a so-called initial coin offering, and in this case, the digital currency startups create initial coins to raise a significant amount of money. In addition to this, a lot of them overestimate the price of their startup. But, there are some things you can do to avoid this scam. For example, when you don’t know a lot of facts about the company, they don’t have publicly available information, nor media press releases and they have questionable trading tactics. If you spot any of this, run!

Three top criteria for selecting a cryptocurrency exchange

Even though everyone is talking about cryptocurrencies and block chains, people yet have to experience them, and we know the reason why this is happening. Investing your money in digital currencies can be scary, mainly because of the price. At one point, it can reach the peak, but at the next, you can lose everything. For traders who want to invest in coins, this entire process should be more accessible and many people are confused because this is a new form of investment. So, if you are decided to purchase your first coins, then we will tell you how to choose the best cryptocurrency exchange.

Where is located?

Locations is an essential part of this process because recently we have many exchanges emerging from the Asian market and many investors are warning traders about them. So, the best coin exchange comes down to where you are located. Considering that cryptocurrency trading is still new, there are only a couple of exchanges in most countries. You need to pay attention to regulation, and if you decide to register with some foreign exchange, then you might not be able to do much if some problem occurs. On the other hand, if your country doesn’t have a coin exchange, go for starts that have excellent regulation and financial laws. In addition to this, many exchanges will let you know during the sign-up process if for some reason you can use their services.

What method of payment will you use?

When it comes to selling and buying digital currencies, you need to be patient. This is a lengthy procedure and every time you have something new to learn. Take some time to review their policies and decide what method of payment you will use. This can save you a lot of money, the money you won’t have to waste on fees. Keep in mind that the easier it is to pay, the more significant costs you will encounter. The charge is calculated by the amount you use to pay for coins and usually that fee goes to miners. Conversion fees go between 0.5% up to 5%. In this case, the exchange makes money on your transaction. For example, if you buy coins using the CEX.IO, the conversion fee will be 3.5% if pay with a debit card, but if you pay using a bank account, then your fee is free.

What currency would you like to purchase and sell?

For most investors who are new to cryptocurrency, the obvious choice would be bitcoin because it’s the most popular. Today, this digital currency represents a 47% of entire cryptocurrency market cap. But, before you invest your money in bitcoin, you should also research other currencies as well. Nowadays, there are a thousand of them; you just need to find your match. You can always narrow down your choice by comparing them, their trading history, value, volume and the price. Only, in this case, you will have to wait longer to achieve success, same as bitcoin traders did.

How to choose cryptocurrency to invest?

This can be a tricky question, especially if you are a beginner and just starting to trade digital currencies. We all know about bitcoin, but considering its price reached $10,000, we think this is too much for average users. In this case, you need to find something that will be profitable in the next couple of years. But, how will you do that, if you aren’t a financial expert and you don’t have a sense for trading? Now you have a variety of choice and dozens of digital currencies available on the market. We are going to show you how to make the best decision.

24h volume

This time gap indicates how much value has been traded through a 24h period and it is expressed in USC and BTC. The higher the volume, the more established the base is. In this case, you should choose a coin that has at least $10,000 trading volume. This is a proof that digital currency is already traded and that there is a certain percentage of people who believe in this cryptocurrency. You can find online some successful stories of investors buying coins for a couple of cents, with a low volume and reached success, but these cases are rare.

You need to pay attention to pump and dump schemes. They are usually set by developers who but a large number of coins and later they sell it. This also means that price will decrease as well. But, if you look at the trading history, you can easily spot this pattern.

Coin liquidity

The coin liquidity is measured in volume and BTC. Some coins have a minimal BTC volume, which means, if you buy a couple of hundred of them, it can move a market in your disadvantage. To avoid this situation, you shouldn’t use exchanges that a low volume of exchanges.

On the other hand, the exchange can artificially increase the trading volume to attract more investors, who always look for higher liquidity. So, if you aren’t familiar with the exchange history, or you have chosen not such a prominent exchange, then you should pay attention to increase of volume and see if it matches the increase in price. But, why are exchanges doing this? It’s simple; they don’t want to lose clients and corresponding fees. Unfortunately, this problem also affects even larger exchanges, so you should pay attention.

Market capitalization and current price

If you want to determine the market capitalization, you just have to multiply the number of coins and current market price. However, this only works with the coins that have already been mined. Developers tend to make a lot of coins at the beginning, which can reflect the higher price, than the one in reality.

The current price of the coin is a perceived value, and you should never make a decision based on that amount. So, if you see a digital currency with a low daily volume, but has a high market capitalization, then it’s some form of manipulation, and you should stay away from it.

How to buy your first cryptocurrency coins?

We have an impression that 2018 will be the years if digital currencies. The new millions are being made as we speak and investors are interested in all forms of cryptocurrency, such as Ethereum, Bitcoin, NEO, Litecoin, Ripple, and others. This has become a modern-day gold rush, and many people have gone crazy over digital currencies. Now bitcoin is now worth thousands of dollars, which is an impressive amount. For coins that once worth a couple of pennies, now investors have made serious money.

Bitcoin might the oldest cryptocurrency, but it’s not the only one on the market. In fact, many people who are just starting with the trade are focusing their attention on Ethereum. This digital currency has had the most significant gain the previous year, and recently this has become the first choice for investors, considering the price of bitcoin. Ethereum is also one of the first cryptocurrencies that many major companies such as Samsung, Microsoft, and JPMorgan Chace supported. Considering that its price was only 12 dollars last year, now the price of Ethereum is a couple of hundreds of dollars. In this case, Ethereum is slowly but surely making the significant gain.

But, Ethereum is not the only digital currency you can trade, but, it’s definitely the most promising one. There are others that might spike your attention. But, you need to choose the cryptocurrency that has a future on digital market and in some cases, you will have to wait a couple of years until your investment becomes valuable.

How to purchase your first coins?

This procedure is confusing for the majority of people, especially if you are an average trader. The digital currencies aren’t stocks or a typical investment. Considering that this is a new form of investment, a lot of people still don’t have experience. In this case, you don’t get shares, but digital coins. A lot of experts think that coins are a better solution than paper money because they are supporting a more significant cause.

For traders who are living in the U.S. Coinbase is the most comfortable option to buy digital coins. Here you can buy Ethereum, Litecoin, and Bitcoin, but the platform doesn’t support other currencies, yet. Once you verify your account and choose the method of payment, which includes credit or debit card, U.S. bank account or wire transfer. In most cases, you need to verify your account with a driver’s license and this exchange doesn’t ask for your ID and once you make a transaction, you can’t reverse it.

On the other hand, if you are looking some other digital currencies, that cost less money, you can try with NEO, but it hasn’t made any significant progress. If you own Bitcoins or Ethereum, you can exchange them with any other digital currencies that interest you. If you are outside the U.S., you can try with other exchanges, but our advice would be to avoid Asian exchanges because no one will guarantee you security.

Four things to know before investing in cryptocurrency

A cryptocurrency is a form of investment that has taken the world by surprise, and now many investors are thinking about putting their money in coins. The most significant example we have so far is Bitcoin, which has reached the remarkable price in the last year. But, are you willing to risk and put your money in something that is unstable and one day it can go up, but the next day it can ruin you. So, if you are serious about cryptocurrencies, here are some things you should know before you make the final decision.

Why are digital currencies attracting attention?

Considering that we live in the era of digital revolution, it shouldn’t surprise us why digital currencies have become so popular and claimed the interest of investors. First of all, this form of investment is open to everyone and second, this is an entirely a new asset that has appeared on the market. Even though this entire situation might seem scary and it takes a lot of time and effort to learn the basics, the results can be remarkable and more significant than any other investment.

Why invest in digital currencies?

If we take the example of bitcoin, it seems silly that only one coin can be worth thousands of dollars. But, what makes it valuable? Bitcoins are scarce and useful, and there is a limited amount of them. If we compare it with gold, we know that it’s a valuable resource, but it’s very hard to find it in nature, the same thing is with bitcoin. This is the only reason why bitcoin is expensive, and there are only 21 million of bitcoins on the market. Now the price of bitcoin is around $10,000, which is a considerable amount if you are thinking about investment. But, you can choose some other cryptocurrency and start building your portfolio because many experts predict that digital currencies will be the future of world’s economy.

The price of digital currencies

There is no official price for cryptocurrencies, and they are set by whatever people are willing to pay. The price is generally shown as the cost of one coin. On the other hand, when you register with one exchange, they will let you buy any amount you want. But, before you make an initial purchase, make sure to research the market to find the best deal.

When is the right time to buy?

No one can tell you that because as with any market, nothing is for sure. If we compare the previous prices and values, so far, cryptocurrencies have only increased in price and at a very fast pace. You can use tools like Bitcoin Wisdom and Cryptowatch to analyze the charts compare the prices through history. Considering that digital currencies aren’t bound to any government nor state; the value can be unstable and depends on people who invest in them. In this case, you should find a balance and avoid investing when the price the highest.

Should you invest money in cryptocurrency?

In the last couple of months, a lot of people have started thinking about cryptocurrencies, ever since Bitcoin hit the roof and reached the price at almost $18,000. But, if you are an average trader, should you risk everything and put your money on the market? We all have been witnesses of a sudden Bitcoin crash, and many investors became skeptical towards cryptocurrencies. So, possible investment in digital currencies could be a right decision, but also it can be a significant risk. Considering that this market is still young, there is no yes/no answer, it all depends on your skill and wisdom. Having this in mind, we will try to cover some pros and cons.

How to invest?

If you are serious about cryptocurrency and you don’t want to buy, sell or trade, then we can present you a couple of options. If you are a beginner, you can choose between GBTC trust, which is sold on a stock market, IRA, or exchange broker, which allows you to buy and sell coins. Each of these options has its advantages and disadvantages. So, general advice would the to review them carefully before you make your move. Another thing to keep in mind is the safety of your money. No one can guarantee you the safe income; you can lose your funds tomorrow. In this case, it would be wise to invest only 1% of your investible funds. Keep it simple and easy in the beginning and later when you feel more comfortable, or you have more considerable knowledge about this topic, you can increase the investment. Unfortunately, the riskier the investment is, the higher the volume.

Pros and cons

Con – the cryptocurrency market has been volatile and Bitcoin can rise and fall hundreds of dollars on a day. Even though this shows that market can be unstable, it also gives us unlimited options because we don’t have a specific price. One the of the hand, are you ready to risk your money based on assumptions and assets that don’t have a particular value.

Pro – there is a significant advantage in investing in digital currencies. The cryptocurrency market is still young, and many investors are projecting the future prices that would ma

ke buying any digital currency as a great bet, regardless of what happens.

Con – so far Bitcoin is presented as the only long-term currency, and that trend can continue for some time, but we don’t know for how long. Investors can lose everything tomorrow because no one will guarantee them the price. For many traders, investing in coins is still a risky operation and not a safe bet.

Pro – even though, the cryptocurrency market is still in a bubble, this trend can continue for many years, and someday, coins can become an essential asset of exchange and even accepted as a mean of payment. Of course, not many investors are thinking about this options because they want to earn money now and think about the advantages and disadvantages later.

The future of Cryptocurrency

A cryptocurrency, also known as digital currency, is created and managed through the use of encryption techniques and methods called cryptography. It all started with the creation of Bitcoin in 2009. Back then, a rare number of people knew about the existence of Bitcoin, until it captured the significant media attention in 2013. Nowadays, the situation is completely reverse, since this cryptocurrency reached its peak. Considering the recent development of digital currency market, traders and investors now have more options and a lot of cryptocurrencies to choose. But, let’s look at the prognosis and what future holds for us.

Bitcoin – the current standards

We are all aware of its popularity, and a lot of investors are crazy over Bitcoin. This cryptocurrency is made through a process of mining, where people use highly advanced computers to verify transactions and some complicated algorithms. At this rate, every ten minutes, 25 Bitcoins are created. These features make Bitcoin different from other flat currencies, which depend on the government. Even though flat currencies are a more secure way of investing the money, a lot of people think that cryptocurrencies are the future of the economy. The value of Bitcoin depends on the money investors are willing to pay, at a particular point in time. On the other hand, you don’t have to focus your attention only on Bitcoin because the stock market is full of digital currencies waiting for investors, you just need to find your match and follow the prognosis.

Safety issues

Considering that Bitcoin is a decentralized currency, it means all transactions are anonymous, and this is a fertile ground for many illegal activities, such as money laundering. This situation has attracted a lot of attention from many government agencies, and even FBI and DHS got involved. In May this year, the DHS froze the accounts of Mt. Gox, the most significant Bitcoin exchange, under the accusations that it broke the anti-laundering laws. This is an important matter to discuss, after all, you are investing your money, and you need to know where it goes and what can go wrong?

The future of digital currencies

One of the largest limitations they face is what will happen with the money if a system crashes, or if virtual vault gets hacked. But, the more popular they become, the more regulations the governments will impose. Even though the number of traders has increased in the last couple of years, they are still in the minority and this a big chance for market growth. On the other hand, not anyone can trade cryptocurrency and are still required to have some basic knowledge. This complexity compared to traditional stock market will deter the majority of investors.

The most significant challenge for cryptocurrencies in the future will be to become the part of a financial system, but they need to fulfill a lot of criteria. They need to become easier so that an average consumer can understand them. In this case, they have a long road ahead of them.

How to invest in cryptocurrency – beginners guide

Digital currencies have raised a lot of hype in the past year, and the world went crazy over bitcoin. But, many investors are still insecure, considering its sudden drop. But, again, the bitcoin and Ethereum remain the hottest investment because people are hoping they can earn big money. If you are one of them and you think you have a change with cryptocurrencies, then we present you the ultimate guide. We have drawn up a simple guide for you, and it is intended for people who are just starting with this form of investment.

What cryptocurrencies should you buy?

Until 2016, Bitcoin was the only cryptocurrency you could purchase, and if you wanted to invest your money in this type of trading, Bitcoin was your only choice. However, the situation on the market has changed, now the investors have a variety of alternatives. Even though, Bitcoin is still the dominant digital currency in this industry, in 2017 we got to experience its sudden drop, which cast doubt, and left many people in worry about its future. This is one of the reasons why traders saw a chance with other cryptocurrencies, like Ethereum. So, if you want to invest your money in digital currencies, you need to have your eyes open and listen to the online community because you have a lot of choices. Here are some possible selections: Ethereum, Ripple, Litecoin, Dash, Monero and many more.

How you buy cryptocurrencies?

A few years ago, it was a real nightmare to buy digital currencies, but nowadays, we have a lot of trading platform which provides such service. The easiest way to purchase cryptocurrencies is to go on an exchange. If you want to avoid paying for high fees, then you should but directly. In this case, you need to find a reliable exchange, open an account, verify your identity and make a transaction. What exchange you will use, will mostly depend on where you live and it’s always better to use an exchange that is physically close to you if something terrible happens. On the other hand, if this is not an option, then it’s better to use an exchange which is located in a stable country and has an excellent legal system.

Is there are a good time to buy?

When it comes to cryptocurrencies, there is no general rule when to buy them. You just need to find a balance because it’s not a good idea to buy them at the peak, but also, it’s not a good idea to buy them when they are crashing. The best time for this type of purchase is when the price is stable and at relatively low level. When the price starts to rise, you need to be strong and resist the temptation to sell your coins because that might be only a beginning. Take some time and follow the trading market, don’t buy coins right away just because you’re bored, or you want to invest your money in something.