Thinking of investing in crypto currency via a crypto currency exchange?
Read this before progressing!
Have you just decided to invest some spare money in crypto currencies like Bitcoin, Ethereum or Ducatus coin? Well, hold on! If you are doing it for the very first time, there’s something you must know beforehand.
Investing and trading in crypto currencies is not like how you do it in the stock markets. Hence, you firstly need to check the availability and validity of a good crypto currency exchange within your vicinity.
Ronny tome, founder and director of the highly recognised Ducatus coin and Ducatus global network, also agrees with the same fact. As per him, any new investor or trader in the crypto currency world must first search about the right crypto currency exchange while keeping the below factors in mind.
1. Availability in your country
You may have heard about random crypto currency exchanges around the world that promises some good returns and secured system for your crypto transactions. While their commitments might be legit, their availability in your country is still not that obvious.
Ronny tome talks about how few countries have put specific regulations in place for these crypto currencies that have further questioned their existence within those regions.
So, before you go and unknowingly register yourself to any such crypto currency exchange, its always recommended checking whether they are operating within your country or not
2. Trading fees
Every investor and trader looks out for a crypto currency exchange that doesn't charge them a high trading fee for the transaction. It is because a higher trading fee can easily consume all the profits that you have earned out the same transaction.
Ronny tome further says that while paying attention to the trading fees, we must also enquire about any hidden charges attached to a transaction on these crypto currency exchanges.
3. List of crypto currencies covered
Being a first time trader, you can easily find crypto currency exchanges that deals in highly recognised crypto currencies like Bitcoins, ethereum or litecoin. On the other side, if you want to buy or sell other lesser-known crypto currencies like ripple or Ducatus coin, you have to specifically check for their availability in these crypto currency exchanges.
Hence, we recommend you to check the same availability before finalising a crypto currency exchange for your particular investment. Ronny tome suggests that apart from checking the availability of your preferred crypto currency, yuo must also check about the available liquidity to fill orders on these platforms.
4.The reputation of the crypto currency exchange
The crypto currency domain is relatively new in comparison to all the traditional financial markets that are monitored and regulated by most of the countries across the globe. Hence, before you go ahead and sign up with any such platform, doling all kind of research and analysis regarding their reputation is highly recommended
The blockchain technology is getting all the limelight these days. While this is happening, it is also drawing the attention of numerous scammers around in the process. Eventually, these scammers have duped thousands of people while creating fake and malicious crypto currency establishments.
Now, this is where you must take an in-depth check through the reputation of the crypto currency exchange you are going to deal along with. Check about the online reviews and ratings given by their current and previous traders, and you can have a better idea about the overall reputation of the crypto currency exchange.
5. Safety measures to protect your investments
Now here comes one of the most critical aspects that can make or break the whole deal. You cannot put in your money to a crypto currency exchange that isn't coming with all the required security measures to protect your investment.
Hence, doing an in-depth check and analysis beforehand in the same regards is quite essential. Furthermore, you can check the crypto currency exchange's website to get a deep understanding of all the security measures they have brought in practice to safeguard your investment.
Summing it up
While the current pandemic situation has brought the whole world to a standstill, the financial markets have also gone through a big crisis. Now, this is where most of the people find an investment in the crypto currencies as a safer bet.
Still, before putting your investment at stake, you must check the validity of the crypto currency exchange while keeping the abovementioned factors in sight.