If there’s one thing we’ve learned over the past few years, it’s that crypto’s here to stay. Many people thought Bitcoin was a scam and cryptocurrency was worthless.

But the current crypto market has a valuation of more than $3 trillion. While this asset class is still very new, now’s the best time to invest in cryptocurrency if you have yet to start stacking coins.

But the biggest hiccup is that most people don’t know how to invest in cryptocurrency. Need a cryptocurrency for beginners guide? Keep reading below for the most important cryptocurrency advice for beginners.

Set Up a Wallet

A cryptocurrency is a digital form of currency. It’s an asset that you should store in your own wallet, under your own custody, rather than in the custody of a crypto exchange.

To do that, you’ll need to set up a wallet. This can be a software wallet on your phone or computer. Or you can purchase a physical hardware wallet, which is what most serious crypto investors do.

Setting it up is straightforward. You’ll be given a seed phrase, which is essentially the passcode that allows you to control the assets in the wallet.

Write this phrase of 12 or 24 words down on a physical piece of paper and store it in a safe location. Never share this information with anyone, unless you’d like your crypto investments to be stolen.

Choose Coins to Buy

What is the best cryptocurrency to invest in? There’s no single answer.

Most people will include Bitcoin in their portfolios. Ethereum is also a good choice, as it’s the foundation for much of the crypto world at the moment.

Before investing in a coin, it’s important to research why that coin exists, what purpose it serves, and what the value proposition is for the future, which will determine its long-term price action. 

Make Your Purchase

Now you just need to know how to buy cryptocurrency.

Many people like the simplicity of trading cash for crypto. And with crypto ATMs, you can do exactly that. There’s probably one near you.

They let you buy the big coins, like Bitcoin and Ethereum, as well as smaller altcoins like Illivium. Get more altcoin and Illivium info here.

Otherwise, you can create an account on a reputable crypto exchange to buy crypto online, like Coinbase.

To do this, you either need to link your bank account or use a debit card (which comes with a fee). You need to verify your identity using your driver’s license and Social Security number before you can use an exchange. 

Cryptocurrency for Beginners Strategy

So what’s the best investing strategy? For beginners, just buy and hold. The best thing you can do is hold and let your portfolio appreciate over time.

No one can time the market, so active trading is very risky. If you want to increase your earning potential, invest in cryptocurrencies that you can stake for passive yield generation. 

Start Stacking Coins Today

Hopefully, our cryptocurrency for beginners guide has provided you with enough information to start your investing journey. Crypto is a wonderful, wide world filled with opportunity.

But it’s also full of risk. So tread carefully and make sure to always do research.

Looking for more investment tips? Head over to our blog to keep reading. 

Share this post On :