HYPP around crypto currency continues. The number of users who are interested in such a financial instrument is increasing. Investing in the crypto currency in 2018 will become an even more relevant trend. Everything goes to the fact that Bitcoin and other crypto-mobiles will continue their growth, which means that, despite the high rate, new investors who are just going to enter the market will also be able to earn money.
Together with you we will consider 3 ways how you can invest in the crypto currency in 2018, which will help you to join the market and earn income. Among them:
- trading – buying and selling of crypto currency;
- Mining – extraction of coins;
- ICO – investing in start-ups and getting a new token.
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- 1 . 3 ways to join the crypto currency market
- 2 . Summing up: which way to invest in crypto currency in 2018?
3 ways to join the crypto currency market
We already wrote an article on investments in the crypto currency . All the coins we described showed good returns. This time, we approached the preparation of the material more globally, to consider at once 3 ways to invest in the crypto currency in 2018. On current trends, read below.
Trading is the most accessible and effective way
The purchase and sale of Bitcoin, Ethereum and other crypto-currencies remains one of the most relevant and profitable investments. Below we will consider the main advantages and disadvantages of trading on exchanges.
To become an investor and start earning on crypto-currencies, it is enough to have at least a small amount. To start is suitable and $ 500. Therefore, it is trading for most users that remains almost the only way to acquire a crypto currency.
In 2017, almost all of the top-level crypto-currencies showed a good profitability. Of course, the obvious leader was Bitcoin. The Bitcoin Course continues to set records. And while many are talking about a bubble and possible risks, he broke the price of $ 20,000.
While engaged in trading, we buy a liquid asset, which, if necessary, can be sold quickly. Crypto currency can be quickly converted into fiat currencies and fixed profit or loss. If you compare the trade of popular coins with investing in ICO , then this option of investment is considered less risky.
Among the shortcomings is worth noting and risks. First, when playing short, you can quickly lose a part of the capital, so we recommend that beginning traders invest in the long-term perspective. Secondly, it is worth keeping the crypto currency in a safe place, and not on the exchange or a dubious online purse. Otherwise, scammers can take all your money.
In which currencies should I invest in 2018?
The popularity of top coins by capitalization will continue to spread. Particular attention should be paid Bitcoin. There are several positive points that suggest that this crypto currency will continue to lead the market:
- trading bitcoin futures on CME and CBOE ;
- Bitcoin has already experienced several forks and remained the market leader;
- the popularity of the first crypto currency is higher than Trump on the Internet, now this is one of the most discussed topics in the whole world;
- the number of shops and services that Bitcoin receives is constantly increasing, since Japan first legalized crypto currency as a means of payment.
But Bitcoin is not a panacea for the market, because now there are a lot of other coins. If most tokens really are dummy, then some, on the contrary, in some moments exceed Bitcoin. Among such crypto-currencies one can distinguish:
All of the above crypto currencies can be found on popular exchanges in our rating . Therefore, investing in digital assets in this way is much easier than dealing with mining or investing in ICO.
Is mining a profitable trade or a sell?
In the first half of 2017, a wave of HAIP formed around the mining. Even now you can feel its consequences. Then from the store shelves, all the video cards that are suitable for extraction of the Etherium and other crypto-currencies were lost. Desperate novice miners were ready to overpay a double sum, just to start producing the air.
In general, then it was possible to collect quite a decent farm of 4 video cards for 2-2.5k dollars. Such equipment produces an average of 100 megahehees. In general, such a farm brings about 300 dollars a month, depending on the level of complexity of the network and the airtime course. If we add electricity costs here, our investment in the crypto currency will pay off in 10-11 months and only after that the mining will start to make a profit.
Suppose you collected a farm in July and began to mine. By December, you just recouped half the cost of equipment. To what happened with $ 2 000, if you buy them on the crypto currency? In July, the aetherium rate averaged $ 350, now this coin is sold on exchanges above $ 700. Literally in six months you can increase your capital by 2 times. Here’s what users write on forums about this:
In the summer of 2017, I bought farms for 11.5 bitcoins, and now these farms cost 2 bitcoins. The income for this period was 1 bitcoin. Tell me please, what for debins?
However, do not write off the mining as a form of investment in the crypto currency. He also has his advantages, which are worth knowing, before investing in digital money:
- Low risks.
We are not dependent on the course криптовалют. Even if the value of the coin remains at the same level, we will still receive revenue, while trading may not bring any results or, conversely, lead to a decrease in capital.
If we are talking about video cards, then with their help it is possible to obtain several crypto-currencies at once. This also reduces risks in its own way. This one crypto currency will cease to be relevant, we will be able to connect our equipment for the mining of another digital coin.
- Resale of equipment.
The farm can be resold to another miner. Since there is often a shortage of such equipment on the market, the value of the assembled farm may be even higher than the sum of all components.
In what cases is it necessary to engage in mining:
- there is an opportunity to buy equipment at an adequate retail price;
- there is access to cheap electricity and we are guaranteed to receive a good plus every month;
- there is a time to sort out the mining and build a farm on your own;
- want to earn income with minimal risk.
In general, among the three areas, the extraction of crypto-currency is the lowest risk, but at the same time the profitability of such an occupation does not remain at such a high level as we would like. However, there is a way to increase the revenue from the crypto currency.
Do not sell the coins immediately, but if possible, keep them in your wallet. Now all crypto currencies are rising in price. In fact, each miner is partly a trader, because he also needs to learn to find the most suitable entry points for the market.
ICO – high profitability vs risks
One of the trends in 2017 was the scope of the ICO. Every day there are several new start-ups. But now this industry is going through hard times. Firstly, there is a high level of competition between new projects. Secondly, investors more carefully select start-ups and do not rush to give their money. Thirdly, investments in ICO involve high risks.
Conventionally, the founders of ICO can be divided into 4 groups:
- Illiterate scammers.
- Competent scammers.
- Illiterate, but honest.
- Competent and honest.
Representatives from the first group almost did not remain on the market. Although previously even the most usual Landing Page with a small advertisement could easily collect several hundred thousand dollars. Much more dangerous look the second and third group. In the first case, we invest money in the crypto currency, which, most likely, will not appear on the market, and if it does, nothing good will happen and the rate will quickly slide to zero. Hence, there are many multimillion-dollar, but unsuccessful projects. This problem is not only fraud, but also a group of amateurs. Trusting money for newcomers in the industry is also not worth it.
In this case, our task is to get to the 4th group of literate and honest founders. This is not as simple as it might seem at first glance. Here you need to have experience, and spend time studying the next project. There are several factors that will help you succeed in investing in crypto currency through ICO:
- Understanding the principles of the work of the detachment.
First, you need to determine whether it really is necessary to implement a blocking system and a new token to implement the ICO. It is possible to use the old technologies to solve the tasks that the project sets for itself.
- Experience in the industry in which ICO is going to develop.
Select those ICOs that you can evaluate based on personal experience. For example, the new project offers some innovative solutions in the field of logistics. If you do not understand anything in this industry, then it’s best to go past and focus on other projects that you can sort out.
- The public team.
Know the founders of ICO in person. Never need to trust money to an anonymous team or people who avoid appearing in public.
Summing up: which way to invest in crypto currency in 2018?
We examined 3 options with which you can join the crypto-revolution and become part of a decentralized financial system. If you still doubt the choice, we have prepared a special table. We hope that it will help you make the right choice.
|Level of profit||Average||Minimum||Tall|
|Start-up capital||from $ 100||from $ 2,000||from $ 100|
|Lack of experience||Not critical||Not critical||Critically|