Do you want to learn how to trade cryptocurrencies safely and how to protect yourself when buying cryptocurrencies?
Despite cryptocurrencies being called safe to trade because of the blockchain technology concept of a distributed ledger, decentralization and censorship-resistant, cryptocurrencies exchanges are consistently being hacked with millions in amounts already stolen.
And you would be right to be concerned!
There are countless reports of hacking, devastating users and exchanges.
Cryptocurrencies, namely Bitcoin, made headline news as it soared in 2017 with many traders becoming filthy rich off the back of it. In fact, they lauded the benefits calling it “the new gold of banking”.
It attracted interest for start-ups (for new emerging cryptos) and big financial institutions, making headline news in spite of warnings of risk.
According to a recent news report, hackers Binance hackers moved $8 million worth of stolen Bitcoin, one of the largest crypto exchanges.
That’s not all…
Here’s another example that made recent headlines on the Canadian cryptocurrency exchange QuadrigaCX in December.
Gerald Cotten, CEO of QuadrigaCX suddenly passed away leaving 115,000 of its users without access to their funds. He was the only one who had knowledge of where the private keys for the exchange were stored and the information is lost forever. Unfortunately, it died with him.
These examples and others are haunting the cryptocurrency industry which includes hacking, fraud and money laundering.
Even though Bitcoin’s value fell drastically below $3,800 in December 2018 and caused the great crypto crash, it has bounced back since April with its value adding over 200 percent!
Other cryptos are also making a comeback with Ethereum gaining more than 20 percent last week and Bitcoin Cash adding 15 percent.
Indications are that cryptocurrencies are going to continue to rise with some predicting that it will surpass the $20,000 mark. Mike Novogratz, Galaxy Digital founder and crypto enthusiast, is optimistic about this.
— Taylor Riggs, CFA (@RiggsReport) July 3, 2019
The good news
Is that, it is not all gloom and doom. There are ways to prevent your risk when buying cryptocurrencies.
Trading cryptocurrency CFDs (contract for difference) have many upsides and benefits and is easy for quick investing as you are betting on the rise or fall of the difference without actually owning them.
So as a trader or an investor, there are some vitally important factors that you can do to protect yourself:
- Use a safe regulated Forex/CFDs broker such as eToro. There is no EU protection for crypto assets. They are unregulated and are a highly volatile investment product.
- Have a wide spread of cryptocurrencies to spread the risk and not put all your eggs in one basket. Your basket can contain a range of cryptocurrencies– rather than just one.
- Use of a digital wallet where you can hold the limitless amount of cryptos that is assessable only to you.
So what’s the secret?
The simple truth is that trading cryptocurrencies with a regulated and safe CFD brokers like eToro you are fully protected and you get to have many benefits and perks.
eToro has a unique and exciting feature that allows traders to follow and automatically copy the trades of other successful traders, the CopyTrader.
On their platform, you can interact with any of their 10 million users, discuss trading strategies, post comments via LinkedIn, Facebook and other social media outlets.
Trade like a pro
Simply, you don’t have to be a pro to make successful trades. You just need to copy other successful traders. This feature is particularly useful for newbies.
CEO of eToro, Yoni Assad firmly believes in the future potential of blockchain technology and cryptocurrencies. He is committed to offering the best tools and assets to eToro traders and investors so that they can manage their investments in one place.
He believes that for the future tokenization of assets will be bigger than the internet making it the financial hub in the world.
The convenience of eToro’s digital multi-signature wallet
That is why you will find that eToro has made it easier and a more smart and convenient for traders to convert one cryptocurrency into another with eToro’s digital multi-signature wallet. You are also able to send and receive different types of cryptocurrencies.
An event known as ‘the halvening’ will soon be upon us. This is where traders who hold bitcoin are rewarded with Bitcoin miners cut in half.
What’s the deal?
As of May 2020, experts say that the miner will be cut in half to 6.25 new Bitcoins. Presently, it stands at 12.5.
What this means is that it causes the supply of Bitcoin to dampen and this could push up the price!
Get this: now you can trade safely on eToroX
eToro recently added eToroX exchange with a range of new instruments to their platform. Here are the additions:
- 2 commodity-stablecoins: eToro Gold (GOLDX) and eToro Silver (SLVX)
- 2 new fiat-stablecoins: eToro Ruble (RUBX) and eToro Yuan (CNYX)
- 17 fiat pairs: USDEX-EURX, USDEX-GBPX, USDEX-JPYX, USDEX-CHFX, USDEX-AUDX, USDEX-NZDX, USDEX-CADX, USDEX-RUBX, USDEX-CNYX, EURX-GBPX, EURX-JPYX, EUR-CHF, EURX-AUDX, EURX-NZDX, EURX-CADX, GOLDX-USDEX and SLVX-USDEX
You will discover that eToro offers over 1,000 CFD (contract for difference) instruments to trade on their platform made up of Cryptocurrencies, Stocks, Commodities, Indices and currencies.
Plus you get some great perks:
- A free demo account that comes with $100,000 virtual money to practice trades and hone your strategies.
- No hidden fees, zero commissions
- An intuitive and easy-to-use platform
- Powerful, advanced financial trading tools
- Learn about trading strategies, risk management tools and lots more in the education program with videos, e-books and more
- Low minimum deposit of only $200
- Highly competitive spreads
- Exclusive trader programs and frequent financial news updates
- Trusted and authorized by various financial institutions for safe and secure trading conditions