How to trade digital currency 

0

What’s the newest asset class taking the investment world by storm, Cryptocurrencies, which is Digital currency that exhibits properties similar to physical currencies, but allows for instantaneous transactions and borderless transfer-of-ownership. 

Bitcoin is a form of digital currency, so is Ethereum, Ripple, Litecoin and so forth. The number of cryptocurrencies and tokens multiply and they now reach into the thousands.  

Cryptocurrency, lack of regulation is its biggest appeal. However, that may change, given a recent call for regulating this segment. Although it’s a big hit with investors, especially because of the record run of Bitcoin, the most popular of all the digital currencies. 

Each time Bitcoin’s price rises, new investors and speculators want their share of profits. Because Bitcoin is global and easy to send anywhere, trading bitcoin is simple. 

Bitcoin remains the best-known, time-tested and valuable. That’s led to it being viewed by some as the most predictable venue for people wanting to bet on blockchains exponential growth. Vast sums of money are being thrown into blockchain by individuals, organisations, venture capitalists, banks and even entire countries. 

But trading of any kind can be a risk or a gamble. Especially when you’re trading in something like digital currency, which depending on whom you talk to, Bitcoin’s value could double again or it could go down to zero. It’s a constant roller coast ride. That has the potential to make good returns. But if you’re not familiar with it be very careful trading bitcoin without being incredibly tuned in 

But the mushrooming of cryptocurrency is proof that it’s moving toward mainstream acceptance. Should you choose to trade this digital currency in South Africa options include: 
  • Accredited investors can invest in vehicles like the Bitcoin Investment Trust, which tracks Bitcoin’s price.
  • Investors can now even buy or sell Bitcoin futures, and soon may be able to buy Bitcoin exchange-traded funds, once regulators feel comfortable with the idea. 
  • If you’d prefer to interact with other bitcoin users, and not go through a licensed exchange, you can buy and sell with other users at Localbitcoins.com
  • You can register for free on www.ice3x.com or www.luno.com exchanges. If you’d like to take advantage of the cheapest prices, you should register on both, so that you have better pricing options. Once your account has been verified with your ID, and proof of address, you’re free to deposit money by bank transfer. Once your account on the exchange has been funded and has a positive balance, you can trade bitcoins. 

 

Share.

Leave A Reply

one + twelve =