Cryptocurrencies are attracting more and more attention these days. It is a form of investment that offers high returns, so it is not surprising that there is increased interest. Let’s find out what you need to know about buying cryptocurrency.
Where to buy cryptocurrency?
There are several ways to buy cryptocurrency. There are two aspects to consider when making your choice. One is the cost of buying on the platform and the other is whether you actually own the asset.
Let’s start with the second factor. Recently, a number of financial services providers have added cryptocurrency purchasing to their portfolio. For example, you can buy crypto directly via Revolut or PayPal, but you only buy so-called exposure. In practice, this means that you cannot actively trade the cryptocurrency you receive.
It is much more advantageous to make the purchase in a place where there are no obstacles to doing so. If we use crypto platforms such as Binance for this purpose, we will actually own the digital gold we acquire.
Beyond crypto exchanges, there are alternative ways to buy gold. For some, using Crypto ATMs may be a convenient solution. There are also online marketplaces where you can also make a purchase. The latter is a little more complicated, but with a little research it should not be a challenge for anyone.
To buy, you first have to convert your forint into dollars or euros. Even here, the service providers will charge you a fee, and then you have to invest. The larger crypto exchanges tend to use lower fees for ATMs, but often try to make their offers incomparable with other market players.
IT security is also important
In the past, there have been several cases of fraudulent attempts to steal investors’ assets using various hacking methods. Therefore, only buy from trusted, well-known providers! These companies take extra care to ensure that data is not accessed. For example, they also provide two-factor identification. Remember: if someone has access to your private key, they own your coins! Later, if we want to trade these cryptos, we will also need to choose reliable trading software.
Where do we store our cryptocurrencies after purchase?
Even if we have bought our cryptocurrency on a secure platform, we should protect it from possible attacks and theft attempts afterwards, during storage. We can do this simply on our computer or on a thumb drive, but if we don’t want to trust this part of our wealth to our installed antivirus, we can consider a higher level of security.
That’s what hardware wallets are for. These are not connected to the internet, so you can only access their contents if someone physically gets hold of them. Even then, it is not easy for the thief, because these devices can be protected by a pin code. So only with that knowledge can the contents be accessed. The most common products in this area are Ledger and Trezor.
Both for purchase and for subsequent storage, it is worth going down the more familiar routes. Lower fees often mean lower quality services. If you want to learn more about the world of cryptocurrencies, we recommend you read our constantly updated blog.
On Binance we start to generate an API Key which is Self-generated ->