Best Ways to Invest in Cryptocurrencies: Cryptocurrency is gaining a lot of popularity among investors for various reasons, including its safety and potential for high returns. But before you find the best way to invest in Cryptocurrency, you should clarify why you want to invest in Cryptocurrency. Is it that you want to become wealthy, or do you want to secure a future; whatever the reason is, you have to set a clear goal so that you don’t arbitrarily swing in the market.
Ways to Invest in Cryptocurrency
Many stock market investors generally don’t know how to invest in Cryptocurrency. There are many ways to make a crypto investment apart from merely buying and holding one or more crypto coins. Have a look at a few different options mentioned below –
1. Buy Cryptocurrency Directly – Buying coins directly is one of the most common ways to invest in Cryptocurrency. You can buy any number of cryptocurrencies you want. There are more than 20,000 cryptocurrencies in circulation, and you can choose whichever you like. To make it easy for you, here’s the list of top 10 Crypto coins to invest in –
- Bitcoin (BTC)
- Ether (ETH)
- Tether (USDT)
- Binance Coin (BNB)
- Solana (SOL)
- Binance USD (BUSD)
- Filecoin (FIL)
- Cosmos (ATOM)
- Cardano (ADA)
2. Invest in Cryptocurrency Companies – You can directly and easily invest in companies with a partial or total focus on Cryptocurrency. You have several options to choose from – cryptocurrency mining companies, companies like PayPal Holdings Inc. (PYPL), Robinhood Markets Inc. (HOOD), etc. You also have a choice to invest in companies that hold large amounts of Cryptocurrency on their balance sheets, such as MicroStrategy Inc. (MSTR).
3. Invest in Cryptocurrency-focused funds – If you are not interested in investing in an individual cryptocurrency company, then you can invest in a cryptocurrency-focused fund. You can consider investing in a cryptocurrency exchange-traded fund (EFT). EFT is a fund that consists of cryptocurrencies and can be bought just like a stock. Here’s the list of seven best cryptocurrencies EFTs to buy –
- ProShares Bitcoin Strategy ETF (BITO)
- Global X Blockchain & Bitcoin Strategy ETF (BITS)
- Grayscale Bitcoin Trust (GBTC)
- CI Galaxy Ethereum ETF (ETHX. U)
- Purpose Bitcoin ETF (BTCC. U)
- CI Galaxy Multi-Crypto ETF (CMCX. U)
- Purpose Bitcoin Yield ETF (BTCY. U)
4. Become a Crypto validator or Miner – To gain easy access to cryptocurrency investment; you can choose to become a crypto validator or miner. You get paid in crypto coins when you mine or validate a cryptocurrency. You can either hold these coins as an investment or trade them to buy high-profit coins from the market.
5. Cryptocurrency IRA – If you don’t mind taking a little risk now for high future returns, you must consider opening a crypto IRA. In simple words, Crypto IRA is a retirement account in which you invest and store crypto. It is one of the best ways to invest in Cryptocurrency because it offers you many advantages, especially a secured future and many serious tax advantages.
Following is the list of best IRA companies for 2022
- Bitcoin IRA – Overall most satisfactory choice
- iTrustCapital – Reasonable rates and fees
- Coin IRA – Most pleasing Investor Experience
- BitIRA – Perfect security
- Equity Trust – Idle for self-directed investments
- Regal Assets – Best Variety of Cryptocurrency Supported
Cryptocurrency is not only a great choice for the people who want to get moneyed but also for those who are worried about their future. Once you have a clear mind about why you want to invest in the crypto market, choosing the investment method from the above-mentioned best ways to invest in Cryptocurrency will be easier.