One of the many options of investment in the digital world is investing in cryptocurrency. It is right to say that it is tough to think of modern investment without hearing about the option to buy bitcoin or invest in other cryptocurrencies. Despite cryptocurrency being one of the most talked-about investment options, there are many risks associated with it.
As of today, there are over 5000 cryptocurrencies you can find listed in the market according to coinmarketcap.com. Many of these coins are tagged ‘shitcoins’ because they have poor use-cases and are used for pump and dump schemes. Traders, especially newbies, lost millions of dollars to shitcoins in the recent bear market.
It is, therefore, advisable to invest in reputable coins and think long-term when you are investing in cryptocurrencies. As stated earlier, crypto investment is very risky, however, investing in reputable coins will help you maximize your profit in the long term. Below are 4 great coins which you can use as an investment.
Read about blockchain technology and the RENEC blockchain.
There is no better crypto investment than choosing to invest in the first and most reliable cryptocurrency. The presence of bitcoin in the crypto market paved the way for altcoins (alternative coins) in the crypto market. Despite having more than 5,000 different cryptocurrencies, Bitcoin still accounts for over 40% of the total market cap in the cryptocurrency market.
Aside from the fact that bitcoin is an investment option, businesses across the globe are now accepting bitcoin as a means of payment. This translates to the fact that learning how to buy BTC or investing in bitcoin is less risky and a smart investment move. Top companies like Tesla, Visa transacts, and some top banks are also incorporating and accepting it as a means of payment.
One characteristic of bitcoin is its volatility. The price of bitcoin is always fluctuating. The price might be up now and will be down in a few minutes/hours. If you are always nervous about the fluctuation that comes with it, it is best advised not to invest in bitcoin without understanding the market. The first thing you can do is understand how it works and learn how to buy BTC, when to buy it and where to buy it before finally investing.
Ethereum is a good investment option because it is not only a cryptocurrency; it is also a network. Many developers have created new cryptocurrencies on the Ethereum network.
Even though Ethereum is not close to bitcoin in value and market cap, none of the altcoins is close to it in competition. Ethereum is not the cryptocurrency that came next after bitcoin, but it has gone past many of the other cryptocurrencies that it met in the market. This is not only because of its price; it is also because of the unique technology it uses.
Another crypto investment option that is less risky is the Binance coin. Binance coin is one of the cryptos that pushed to its peak during the bull market in 2017. After the bull market and reaching its peak, the value also decreased.
The good side is that, unlike other crypto investments, it had an upward trend after 2017. Binance coin has recorded good performance over the years and poses fewer risks: this makes it one of the stable investment options you can consider.
Binance coin is different from other cryptos on this list because it was created by the company, Binance, which has been committed to cryptocurrency and has proved many critics wrong over the years.
One of the reasons why this cryptocurrency is a good option is because of the smaller footprint it leaves. The energy used in completing Cardano transactions is less, which means it is cheaper, faster, and safer to complete transactions. Additionally, Cardano keeps improving to avoid hacking and theft-related issues.
Cardano operates a good network, but it is not on the level of the larger cryptocurrencies. The number of adopters is not much compared to other large cryptos. Many investors are always concerned about the rate of adoption. It is right to say Tomorrow is Big for Cardano.
Why are the Cryptocurrency investment options mentioned above less risky?
They have a good track record
In the years of being in the business, the 5 cryptos mentioned above have performed well. Despite the volatility of cryptocurrencies, these 5 cryptocurrencies have gained traction over the years.
It is also important to add that a cryptocurrency that performed better in the past doesn’t mean it will perform better tomorrow. Past results don’t predict future results.
They have been around for a while
The cryptocurrency investment highlighted above has been around for a while. This is not ruling out any new cryptocurrency. But there are long-term data for the crypto listed in this article that can be used in comparison and decision making.
All the crypto investments listed above are built on blockchain technology, making its usage easy and secure. Additionally, any of these crypto and investment options have high transaction speed. Blockchain technology also makes tracking investment easy to avoid being lost to fraud.
The rate of adoption of these cryptocurrencies is also high. This translates to better liquidity and more prospects for the future.
You don’t need to doubt crypto as an investment option. The digital currencies are here to stay and will keep proving skeptics wrong. However, before you choose to buy bitcoin in Nigeria, remember it is not a scheme that will make you rich overnight.
Introducing RENEC – Remitano Exchange Native Token
Global peer-to-peer crypto exchange Remitano is currently developing its native token, RENEC, to improve the quality of services delivered to customers, reduce transaction fees and ensure secure and swift transactions. While RENEC is still in the development phase, Remitano has provided an amazing opportunity for old and new Remitano users in Nigeria to earn FREE RENEC.
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The post Top 5 Less Risky Cryptocurrencies as an Investment appeared first on Nigeria Technology Guide.
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