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Young Investors Guide to Stepping into the World of Crypto Investments
The times are changing and evidently for the better. Consider the evolving dynamics within the financial space – Today, a growing number of millennials are marking adulthood with a sturdy footing in the investment market. The generation is conscious of the importance of growing their funds. It makes them more confident to establish their financial future and attain control over their money.
Investing is indeed a wise way to build wealth and secure a bright future. With eyes on the bigger prizes, the younger generation is looking at investing in crypto assets to enrich their portfolios. And why wouldn’t they? The tales of successful crypto investors are more than many. Did you know? Back in 2020, Erik Finman self-proclaimed to be the youngest bitcoin billionaire at the raw age of 21 years. He strategically invested $1,000 in bitcoin at the age of 12 years in 2011 and held on to the virtual assets valued at over $4.8 million. While Eric may have started his journey way earlier, it is never too late to begin!
Additional Read: How to buy Bitcoin in India
Higher Adoption of Cryptos by Young Professionals
Crypto jargon has become part of the popular lingo among young professionals. Indian youngsters are keenly drawn to this new form of investment. Experts regard this shift in interest to more factors than just one. To begin with, technology has been a huge influence for the youth across the globe. Investing in crypto assets is backed by blockchain technology and this has led youngsters to give it a deeper look. The asset class also came into being during the past recent years and the generation has closely watched its performance. The decentralized nature of the crypto investing space is another alluring aspect. There is an air of mistrust in the traditional banking system and crypto comes as a relief. Lastly, the younger generation fears missing out on the potential returns that crypto assets could earn them.
Experts believe that the popularity of the Metaverse is only likely to further pique the interest of young crypto investors.
Additional Read: Metaverse Explained with Real World Examples
The Key to Finding Reliable Information
Today, there is so much information available but there is just as much clutter. It is no wonder that less than 50% of Gen Z adults feel confident about their financial knowledge. Most of the population relies on different social platforms such as YouTube, Instagram, Podcasts, and news articles to absorb investment-related information. This is especially true for the ever-evolving crypto investing space. Turning to the incorrect resources will only confuse. Therefore, it is important to take away valuable insights from a reliable platform like CoinDCX.
Curated by the leading crypto exchange, the CoinDCX blog, CoinDCX YouTube channel and their dedicated learning hub DCX Learn help you stay confident in the crypto game. Join us in the journey as we equip you with the concept of blockchain technology and the power of crypto trading. So, if you have always wondered about how to start investing in crypto, this is your cue.
How to Start Investing in Crypto Assets
Crypto assets have emerged and there is no better time than now to start investing. To start trading, you must begin by getting acquainted with a crypto exchange. If you have no understanding of this process, do not worry. Let us take you through the simple steps that will propel you into the world of crypto investing.
- Select a Crypto Exchange – The first step lies in selecting the right crypto exchange. The platform enables you to buy and sell these virtual digital assets. Think of it like your stock exchange that facilitates your trading functions. What sets a crypto exchange apart, however, is that it functions every minute of the year. Pick a reliable and secure crypto exchange such as CoinDCX to enjoy a seamless journey.
- Create and Verify the Account – The next step lies in setting up an account. As part of this process, enter the requisite information pertaining to your profile. Do note that the exchange will also verify your credentials.
- Add Funds to the Account’s Wallet – Begin by transferring an amount into the trading account. The CoinDCX wallet is simple to use as all you must do is transfer INR funds to the wallet.
- Buy/Sell Cryptos – Once your account is set up and the wallet holds the transferred funds, you can start buying and selling assets. Depending on which crypto you wish to purchase, you can enter its ticker symbol and the number that you would like to purchase.
Still apprehensive about how to begin your crypto investment journey or how to start investing in crypto assets? You can use the Crypto Investment Plan (CIP) by CoinDCX. It works just like your Systematic investing works for mutual funds. Add funds into your CoinDCX Wallet depending on how much you would like to invest at regular intervals. The weekly investment routine helps instil discipline and drive the best of asset value.
Over time, CIP by CoinDCX helps build a good crypto investment plan and harness your skills for potential returns.
Selecting a Storage Method for your Crypto Assets
As with every form of investment, it is important to protect your resources effectively. This is especially vital for crypto assets as the space is not yet backed by regulatory measures. Read on to know effective methods to store your crypto assets.
- Storage on the Exchange – The crypto assets may be left to be stored on the crypto wallet that is part of the exchange. However, you must note that the security of your assets is a collective responsibility. While the exchange ensures complete security, you too must take all measures to protect your assets effectively. This could include setting strong passwords and keeping the data discrete.
- Hot wallets – Stored online, crypto wallets are powered by internet-connected devices such as tablets, computers, or phones. The form of storage is convenient; however, it also carries a higher risk owing to the online exposure. Assets are at a greater risk of online fraud or theft.
- Cold wallets – Cold crypto wallets are hardware devices that are used to store your assets. They comprise devices such as a hard drive or USB. This form of storage is not connected to the internet and is thus, relatively safer. However, you must maintain certain safety measures by proofing the device from damage and setting up strong passwords for access.
Additional Read: How to set ‘SMART’ Crypto Investment Goals.
That’s it! Now that you are equipped with the right information on how to invest in crypto, you must begin early. Enjoy the simplest investment journey and stay at the top of crypto trends with CoinDCX.
Disclaimer: Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. In case you have any queries, write to [email protected].
The above information represent the independent views of Primestack Pte. Ltd, Neblio Technologies Pvt. Ltd, and/or their affiliate entities and are for informational & educational purposes only. The content, information or data provided above is not an offer, or solicitation of an offer, to invest in, or to buy or sell any interest or shares, virtual digital assets/ crypto products or securities, or to participate in any investment or trading strategy. Any statement or communication made above shall not be treated as a legal, financial, investment or tax advice by the reader. The calculations, data, risk-return formulations, performance or market capitalization indicators captured above are based on the independent data sourcing including collation of public information and/or analysis performed by analysts, advisors or employees of Primestack Pte. Ltd/ Neblio Technologies Pvt. Ltd and/or their affiliate companies and/or any third party. Past performance is not indicative of any future results. The reader(s) are hereby advised to consult their financial/ legal/ tax advisor(s) before making any investment.
The crypto market, by its nature is extremely volatile. Therefore, let’s try to answer some questions you need to consider before you buy crypto in 2023.
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