So, you’re ready to start trading crypto. You have some money saved up, you’re following a few crypto traders on Twitter, and you’ve Googled what “blockchain” means. The only problem? You have no idea where to start.
Don’t worry, we’ve got you. Here is your step-by-step guide to how (and where) you should start your cryptocurrency trading journey.
1. Do your research
In crypto, one thing is certain: nothing ever stays the same. As digital currencies become more widely adopted in more places, the crypto landscape is constantly changing and growing. That’s why doing your research is the best place to start.
Read crypto news regularly to stay in the know. Follow crypto blogs for trading tips and market trends. Learn what the different crypto coins are and stay informed on their daily highs and lows. The more you know in crypto, the more successful you’ll be at trading it.
2. Choose a trusted crypto trading platform
When selecting a platform to trade on, it’s best to be picky. The platform needs to be reputable, safe, and run by seasoned experts in the finance industry. Look for services that have zero trading fees and flexible options for withdrawals. And if the platform can offer you fast processing (like Bitvo’s Same Day Guarantee), even better.
Still unsure? Pay attention to what others are saying about each Canadian crypto trading platform. In the crypto community, reputation matters.
3. Start simple
Once you’ve picked a great crypto trading platform, you might find yourself stumbling down a rabbit hole of complex trading strategies. Don’t let that overwhelm you. Start off with a simple trading strategy as you learn how it all works.
For example, a simple long-term strategy involves buying an asset at what you perceive to be a low or fair value and holding it with the anticipation of price appreciation. Whatever strategy you choose, keep it calculated as you dip your toes in the crypto waters.
4. Don’t put all your eggs in one basket
You’ll hear this one a lot when you start trading crypto and it’s not to be ignored. By buying a variety of assets, you’ll build a more diversified portfolio. Make sure you continually monitor your holdings after you make the initial purchase in order to evaluate continuing to HODL (that’s crypto speak for hold) versus exiting a position. And most of all, don’t let FOMO justify your trades.
5. Keep your assets in Cold Storage
Just like any financial ecosystem, cryptocurrency can be subject to hacking. Make sure your digital assets are kept safe in Cold Storage. You can do this on an external hardware wallet, or check to see if your trading platform already has Cold Storage implemented into their security measures.
For example, Bitvo uses a secure, proprietary Cold Storage solution that is located offsite in a third-party financial institution that is only accessible via multiple signatures of a select group of trusted individuals. Overall, we hold 95% to 100% of customers’ funds in Cold Storage.
6. Stay curious
Don’t be afraid to ask questions and seek advice! Connect with others in the crypto community and reach out to experts who have been doing this for over a decade.
But most of all, contact your crypto trading platform for real-time assistance. Bitvo’s support team is available 24 hours a day and 7 days a week by live chat, email, or phone.
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