The current bear market has caused a lot of fear and panic among investors. Prices have plummeted in most major cryptocurrencies and the selloffs have shaken many people out of their crypto retirement plans. But this is an opportunity to test your risk tolerance and build your investing thesis. If you’re looking to break into the world of investing with small amounts, it’s now or never. One way to invest modestly is through cryptocurrency-based investing strategies. While most investors assume that buying stocks, bonds, or other securities is the best way to go about building wealth for the long term, some believe that cryptocurrencies are the future of investing. And if you’re willing to get a little bit technical and want to test your risk tolerance, then cryptocurrencies might just be your answer. In this blog post we’ll discuss how you can make money by investing in Bitcoin (and altcoins). Let’s get started…
What is Bitcoin?
Bitcoin is an online cryptocurrency that allows users to send and receive money in the form of digital coins. Bitcoin was created in 2009, by a person or group known as Satoshi Nakamoto. They released their white paper on the bitcoin network in 2008, which laid out the structure for bitcoin’s design and function. The crypto market has grown exponentially since its inception, with 1 billion dollars worth of bitcoins being traded per day today.
How To Make Money by Investing in Bitcoin
Bitcoin is the only cryptocurrency that has survived while everything else has gone to zero. The stellar performance of Bitcoin and other cryptocurrencies, combined with a market correction in 2018, has brought more investors back into the space.
There are various ways to invest in Bitcoin – but if you want to make money, it’s going to be about finding novel uses for the underlying blockchain technology. For example, I have created a company called BlockSci, which is a research-based startup that helps companies identify and reach new customers through their decentralized AI. We are currently investing in the technology behind the blockchain and what it can do for businesses.
, Bitcoin, and Other Cryptocurrencies
Cryptocurrencies have experienced a meteoric rise in value this year. From a value of $1,000 in January 2017 to more than $20,000 at the beginning of December, cryptocurrencies have reached unprecedented heights. But that’s all changed now: prices have been on the decline for the past few weeks and are currently sitting at around $5,000.
Bitcoin is one of the most popular cryptocurrencies out there and has seen a massive spike in price. Bitcoin is up more than 2,500 percent this year alone and at its peak reached nearly $20,000 per coin. The other hottest cryptocurrency right now is Ethereum. While Ethereum isn’t as popular as Bitcoin yet it still generates some buzz and has seen a huge spike in its market cap: up over 5,000 percent in 2018 alone.
Ripple is a digital asset exchange and remittance network that uses blockchain technology. This means that Ripple allows you to transfer currency through the system in a faster and more secure manner than existing methods. The company’s native token, XRP, is used as a bridge between two currencies, so it can be exchanged into different ones. As of June 2018, Ripple has a market capitalization of $39 billion. Find out how you can invest in Ripple in this blog post.
If the idea of investing in Bitcoin seems daunting, there are other options like Ethereum and Ripple. Investing in any of these cryptocurrencies will be a smart choice if you want to make money by investing.