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Things You Should Know Before Investing in Crypto

PERDANANEWS.COM – Things You Should Know Before Investing in Crypto. The prices of various crypto assets have been on a strong trend since last year. Even since the beginning of 2021, from the largest crypto asset, bitcoin, to the crypto that was originally made for jokes, dogecoin, its price has skyrocketed hundreds of percent to date.

This also makes crypto assets one of the most popular investment options lately. Also, read The Vice Minister of Trade: The Potential of Crypto Assets as a Very Large Commodity The recognition of crypto assets by various large companies or institutions has made many investors believe in placing their funds in one of these investment instruments.

“This makes professionals get involved in crypto assets because they understand how to manage risks,” said CEO of Panxora, Gavin Smith, quoted by CNN, Monday (10/5/2021).

Things You Should Know Before Investing in Crypto. However, there are several basic things that potential crypto asset investors need to know. First, potential investors must know in advance what crypto assets to own. Currently, there are thousands of types of crypto assets circulating in the global market.

In fact, in the future, it is projected that there will still be more types of crypto assets, due to the attractiveness of the decentralized financial movement or (Defi). “There are many digital currencies with use cases and you have to understand the proportions of potential investment before committing to capital,” said CEO of Grayscale Investments, Michael Sonnenshein.

For beginners, choose crypto assets that already have a strong foundation and are already large in the market, such as bitcoin or ethereum. Even though the price is still volatile, the two types of crypto assets already have clear regulatory frameworks that can minimize risk. After knowing what types of crypto assets to buy, decide on the right asset-buying platform.

Read More: Favorite Crypto This Week, Including BNB & Doge

Choose a crypto asset trading platform that is widely known and has a clear legal framework. One thing to note, most crypto-asset transactions have higher fees than other investment platforms. Also read: Beware of Crypto Asset Investment Scams Finally, potential investors must know how risky they are to pl

(PNI/Crypto)

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