Investment in bitcoin and other cryptocurrencies

Published : 25 July 2018

There are many possibilities to invest in cryptocurrencies. The quickest and the simplest way is to speculate on price developments. Which can be done in the platform presented below.

Investing in Bitcoin and other cryptos with eToro

With the eToro platform, you can trade Bitcoin for American dollars. The contract is called BTC, and it is not leveraged. This means that your profit or loss is reflected in the percentage change in price movement 1:1. For example, if you invest $10.000 and the value rises 5%, you earn $500. With eToro you don’t pay overnight fees.

Tha platform also offers the possibility to copy-trade. It’s a useful tool, where you can automatically copy other traders’ orders. If you don’t want to move in and out as the price rises and falls,  you can simply copy other traders that have traded with success.

With eToro you can, among others, invest in:

Bitcoin – the classic currency

Ethereum – technology that can become a world computer

Ripple – technology focused on fast money transfers

Litecoin – a lightning fast competitor of Bitcoin

and many others…

With eToro you can also invest in, among others, ether, ether classic, ripple, litecoin, dash, and bitcoin cash. You can also short them all if you believe that the market will go down. You can read the article: Can I trust my trading platform?

>>>>>>>>>> Open an account with eToro

Investing in cryptos with leverage

Cryptocurrencies move quickly up and down, but if you believe it goes too slow, you can leverage your investment. If you do leverage your investment, you can earn (or lose) 5 times as much when the price moves up and down. This method is addressed primarily to day traders.

You can leverage you crypto investments with:

Plus500 trading platform – here you can trade bitcoin, ethereum, ripple, litecoin, and IOTA.

Pepperstone trading platform – here you can leverage bitcoin, ethereum, litecoin, and dash up to 5x.

On Plus500 you can trade bitcoin, ethereum, ripple, litecoin, and ripple. IOTA can be leveraged 1:2, which means that you double your profit. Or loss, naturally. You should be aware that a contract with Plus500 only runs for a few days. If you want to leverage the biggest cryptos, you can also choose Pepperstone, where possible leverage is 1:5. Here there are NO short contracts, which makes Pepperstone a more serious trading platform for the active trader.

Leveraged products are not suited for long-term investment, as the overnight fee is relatively high, but they can be used by risk-prone investors that would like to give his investments an extra boost. While profits may be significant, you should naturally be aware that losses can be equally big. (Disclaimer: You capital may be at risk)

>>>>>>>>>>>>> Open an account with Pepperstone

Investing in Bitcoin with Coinbase and Binance

If you don’t want to speculate on price movements, but instead with to own bitcoins or another crypto, the process is slightly more complicated. Binance, for example, offers a wallet, where you can trade a wide range of cryptocurrencies, including the less common ones. Read our Binance review here. On the platform, you can use neither dollars, nor euros, or any fiat currency for that matter. So you should first exchange your fiat currency for bitcoins. That can be done on Coinbase, after which you bitcoins can be transferred to Binance, and then you can trade. When you open an account with Coinbase or Binance you have to send your passport and identification papers. With Coinbase you must them make a test-transfer of currency to Coinbase. Typically, it takes a few days. Coinbase offers bitcoin, bitcoin cash, ether, and litecoin without leverage. If you don’t like that, you can quickly and easily transfer your bitcoins to Binance, where you can use them to invest in a myriad of other cryptos.

>>>>>>>>>> Open an account with Coinbase

>>>>>>>>>> Open an account with Binance

If you own bitcoin and another crypto, it is important that you diversify your investments, as hacking and cyber theft, unfortunately, do occur. Besides this, since many banks refuse to accept profits from cryptocurrencies, you need to check your local bank’s position towards it. This may speak in favour of choosing eToro or Pepperstone over Coinbase or Binance, as with eToro you don’t buy actual bitcoins.  

Coinisseur.com receives commission and/or payment and/or benefits from one or more of the trading platforms featured on the page. Coinisseur.com, however, aims at 100% objectivity, like other types of professional media and their advertisers. The payment means that coinisseur.com can pay our staff so that we can continue to run the website. Coinisseur.com strives for openness and transparency in this area.

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