How to Buy Cryptocurrencies - A Guide by CryptoScores

in cryptocurrencies •  5 years ago 

Step 1) Register for an Exchange

In order to purchase any cryptocurrency, you must first register for an accredited exchange. Cryptocurrency exchanges are markets where investors can buy and sell coins, and the only way to purchase a currency is through the use of an exchange. Exchanges often charge small commissions for facilitating transactions between cryptocurrencies, so it is important to compare exchanges and choose which outlets are the best option for your personal trading style.

For a full list of comparable exchanges, visit our Exchange Index.

To get started right away with a Safe and Secure exchange, we recommend signing up for Coinbase.

Step 2) Deposit Funds into your Account

After you’ve registered for an exchange, you must first deposit fiat currency into your account. Most exchanges accept multiple forms of cash, including USD. Additionally, in order to purchase many altcoins and smaller market-cap cryptocurrencies, direct USD to crypto transactions are not facilitated. Instead, investors must first convert their USD into Bitcoin or Ethereum to further purchase smaller altcoins, depending on the coin.

When using Coinbase, follow these steps to make your first crypto purchase:

Click “Buy/Sell”

Click “Add New Account” and choose a preferred payment method.

Select a Coin, Payment Method, and Amount & Click “Buy”

Step 3) Select Which Coins to Buy and Make Your Investments

Now that you’ve registered for an exchange and are fully prepared to invest in cryptocurrency, the final step is to select and purchase which coins you’d like to buy. The hardest step to investing in crypto is to choose coins that will maximize your returns, and with an abundance of hype-based coins on the market, it is important to do some research before making any investments. In addition to researching coins, it is also extremely important to remain realistic and diversify your portfolio. Investing in crypto is just like investing in any other traditional stock. Only put in what you are willing to lose, and don’t rely on a single company or coin to bring you bountiful returns.

If you’d like to browse potential coins to invest in, or double check a currency to see it’s CryptoScore Risk Rating before you buy, check out our Coin Index:

Cryptoscores Coin Index provides scores for thousands of cryptocurrencies.

Like our content? Learn more about cryptocurrencies and blockchain technology at CryptoScores.org!

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