How to invest in cryptocurrencies?

Many people are tempted to invest in cryptocurrencies but find the process tedious. However, it is now very easy to invest in these virtual currencies. Some show very high growth rates. Explanations.

Bitcoin, safe haven

During this period, marked by the international crisis and conflict between Ukraine and Russia, ensuring safe investments is one of the main concerns of both private individuals and institutional players. Thus, Bitcoin acts as a safe haven in many ways.

Bitcoin is a rare virtual currency because its supply is limited. There are 21 million bitcoins in circulation. In an inflationary environment, Bitcoin is tempting investors. Thus, Bitcoin is one of the most popular cryptocurrencies in 2022. This virtual currency represents over 50% of the remaining market. Thus, buying cryptocurrencies with Coinhouse is a great option. Bitcoin remains a safe bet for the first investment in the world of cryptocurrencies.

Choose the right investment platform

It is important to master some of the basics and, in particular, the vocabulary of this universe. You can easily find cryptocurrency training online. This way you will know what is blockchain or mining. To learn about this universe, you need to train. On the web, many YouTubers make tutorial videos to teach you about the basics of cryptocurrencies.

There are plenty of operators in this highly competitive market. Therefore, it is necessary to methodically choose a reliable crypto exchange platform. A structure was created to regulate platforms that sell cryptocurrencies.

The Autorité des Marchés Financiers (AMF), the sector’s supervisory body, monitors the activities of digital service providers: that is, intermediaries that offer services related to crypto assets. Among serious platforms, Coinhouse occupies one of the first places. When performing the operation, it is important to go through the French platform.

Indeed, if the account you use to purchase crypto assets is located outside of France, taxpayers are forced to file Form 3916 with every tax return. Omission can result in a fine of more than 1,000 euros for an undeclared account.

Protecting your cryptocurrencies

Protecting your digital currencies is an important element when you start investing in cryptocurrencies. Thus, it is extremely important to enable dual authentication on the platforms you use to sell or buy crypto assets. In addition, it is better to conduct transactions with a completely secure Internet connection and avoid doing it in public places.

You will also need to familiarize yourself with your virtual wallet, which is called wallet. There are different kinds. A hot wallet is a virtual wallet that stores cryptocurrencies on a tablet, computer or smartphone. Its advantage is practicality. The second option, a cold wallet, is an external storage mode that is not connected to the Internet. A more secure method that protects against the risk of hacking and should be taken seriously.

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