How do you Buy and Trade Cryptocurrency?

The investors who are beginners in the cryptocurrency world don’t know everything about mining, buying and trading them, so before they start, they need to learn the basics and to find out what method is safe and trusted. Next, you need to decide if buying “cryptos” is better for you or trading them and vice versa.

The crypto market can be exciting if you know exactly what you want and need. Then, you need to be informed how to buy them, can you use real currencies, what payment method you will use, do you need applications, tokens and alternative platforms to trade the virtual money and what type of cryptocurrency you are interested in.

So, let’s start with some basic steps you need to know:

What should I know at the very beginning?

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First, it’s always good to check on the laws and regulations in your country. Some laws are restrictive when it comes to this type of currency, so you may need to be very careful and take actions that won’t let you mess with the law. Next, you will have to decide what payment method you will use, credit card, money transfer or cash. Then, decide which cryptocurrency you want to buy or trade, and choose the crypto wallet you will use to store the money, including online wallets, software wallets or hardware wallets. This decision depends on the cryptocurrency you are willing to buy, so read all the descriptions and information, even those you think that is not so important.

What do I need to know about buying and exchanging cryptocurrencies?

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The most important thing is to be careful and to learn how to avoid fraud and scams. The crypto market is full of scammers and hackers who wait for the inexperienced traders and to trick them. So, don’t believe anybody and don’t be naive, because that can make you an easy target for scammers.

Then, you need to choose the appropriate and trusted platform where you can buy and trade with Bitcoins and other cryptocurrencies. Coinbase is one of the most popular and most stable platforms to buy and sell digital currencies, or you can also try Libra Method, which is a new trading bot that helps you to follow the latest trends in the crypto world. It’s powered by Facebook and following the digitaledge.org investigation, it’s legit, easy to use and it offers you a few trusted methods for virtual buying and trading.

When you decide to buy digital currencies, you need to register for the chosen platform with the credentials that it requires. Then, to verify your identity and set a two-factor authentication, so you can protect your account. These exchange platforms look similar to the stock-trading ones. There, you can buy cryptocurrencies or exchange them for other types of virtual money. Choose trusted exchange platforms with lower fees. The verification of your account may take up to a few hours, so be patient.

Is the P2P method safe?

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Generally, it’s safer to use a trusted platform as a “mediator” between you and the person who sells crypto money. The platforms such as Coinbase, Libra Method and Bitstamp, have transaction fees and if you want to avoid paying them, you can try the peer-to-peer method. But, again, you should be careful and do everything you can to protect yourself from scams.

Many legit and trusted websites support P2P transactions, so you need to find the one that suits your needs. We can’t say that we are sure that every P2P website is safe, but many of those are legitimate and trusted. You will have to visit a few forums and read many articles, so you can decide which one to choose. Every platform has rules and you need to follow them carefully, so you can finish the transaction successfully.

Exchange or P2P?

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There is no way to tell which one is better because that depends on you. Every method has advantages and disadvantages. For example, there are no fees in P2P transactions and you can use cash to buy the cryptocurrencies, but you should be very careful when you look for a seller (or buyer).

Exchange platforms offer you a comfy feeling of safety, but it can be challenging to find legitimate websites where you can buy and trade crypto money. So, you need to define your priorities and to be informed, before you start anything on the crypto market.

There is one particular difference between these methods that may help you decide how to start. Think about it like buying some products, for example, apples. You can go to the market and choose the apples you want and pay some price, which includes the market’s fees in the price. Or, you can go to the people who have apple trees and buy them directly, paying only for the apples. And now, it’s on you to choose what fits your needs.

It’s normal to be skeptical about the P2P transactions, so if you don’t trust them, go on with the exchange platforms. As you grow as a buyer or trader, you will be more confident to try new things in the future.

This guide offers you some basic advice that is related to this field. Everything from now on depends on you and your needs and choices. Don’t forget to measure your possibilities, so you can avoid spending a lot more money than you can afford. You mustn’t be impulsive when it comes to finances, never mind the real or virtual ones. Remember, the market’s rules are changing every minute and you will need to learn new things almost every day. But, that will make you an experienced trader and as time goes by, you will be able to recognize trusted sources and platforms and to avoid the scams. That’s almost everything you need to be a successful crypto trader. We hope that this guide helped you to learn some essential things about cryptocurrencies and the possible ways of buying, selling and trading them using legitimate platforms, methods, and applications.