Tag: GBTC

  • Cryptocurrency Stocks – The Best to Buy in 2019

    Cryptocurrency Stocks – The Best to Buy in 2019

    Cryptocurrency Stocks - The Best to Buy in 2019Instead of buying cryptos, you can invest in it, you just have to choose will you do it directly or indirectly. Traders-Paradise explains how to invest in cryptocurrency stocks.

    By Guy Avtalyon

    Cryptocurrency stocks are continuing to attract new investors in 2019. However, most beginners have problems finding the next cryptocurrency to invest in 2019 We understand how upsetting it is when you first begin looking for cryptocurrency investments. And that’s why we want to help.

    We can understand your wondering “Should I be investing in Bitcoin or Ethereum or some other crypto?”

    We want to explain how to invest in cryptocurrency stocks.

    This is for you, beginners.

    You’ll have to decide on the way how you want to invest in cryptocurrency: directly or through, for example, the stocks, which is indirectly way.

    Then, if you want to invest directly, you’ll need to decide if you want to be in direct control of your cryptocurrency, or if you would like to use some custodial service.

    A lot of things is already said about the future of cryptocurrencies. Some people believe that the cryptocurrency period won’t last long. On the other side, the others think they’re going to be around forever.

    It is tricky to predict the future of cryptocurrencies, but what we do know is that the demand of cryptocurrencies is only increasing. One of the reasons for that is because of blockchain technology, which is the principal technology behind all cryptocurrencies.

    But before you start, follow Warren Buffett’s advice  “Never invest in something you don’t understand”. Start to read more about cryptocurrencies to go get a sense of information before you dive into the world of cryptocurrencies.

    When you start your learning task, you will find a lot of blogs and videos online. Some of them are very ignorant, but some are too difficult.

    They are either too specific or too general. The learning path isn’t always clear.

    So, let’s make it easier.

    To start investing in cryptocurrency stocks directly you’ll need:

    1. A cryptocurrency wallet. This will provide you with direct control of your cryptocurrency.
    2. A method of obtaining cryptocurrency. Honestly, you will need a cryptocurrency exchange or broker to buy cryptocurrency or to trade cryptocurrency.
    3. A method for selling cryptocurrency. Part of investing is occurring in the ability to cash out. To cash out you’ll probably need to change your cryptocurrency back to some top coin like Bitcoin, Ethereum, or Ripple. So, you’ll need access to the platform that lets you trade those for fiat currencies.

    To start investing in cryptocurrency stocks indirectly through a stock, you’ll need

    First, you’ll need to select between a limited set of options. They include:

    1. A cryptocurrency IRA.
    2. A stock that is related to cryptocurrency.
    3. A private fund which means you’ll need to be an accredited investor and meet certain capital requirements.
    4. Each method of investing in cryptocurrency has its own pros and cons.

    If you know something about the cryptocurrency markets, you then know that 2018 wasn’t an excellent year. Bitcoin has lost 74% of its value last year. The most other major cryptocurrencies have done even worse. Last year, Ripple, Ethereum, and Litecoin are down by 80%, 81%, and 85%, each.

    But, there’s still a lot of interest in blockchain technology and cryptocurrencies. So, it’s possible that we may see a flood in bitcoin or some of the other digital assets.

    That’s why, instead of investing directly in cryptocurrencies, it could be a smart idea to put your money in a business that will do just nice no matter what happens in the cryptocurrency world. And that will do even better, of course, if the crypto world has a good year in 2019.

    What are the best cryptocurrency stocks to buy in Traders Paradise’s opinion?

    1. Bitcoin Investment Trust (GBTC) 

    Barry Silbert has been a figure behind many cryptocurrency trends over many years. He was best recognized for Second Market. It was a well-known system to trade stocks in private companies. His Digital Currency Group (DCG) was originally a part of Second Market, combining a cryptocurrency trading firm called Genesis Global Trading with an asset management firm, Grayscale Investments.

    The Bitcoin Investment Trust (OTCMKTS: GBTC) brings digital currency investment to small investors. It is currently traded through what was called the “pink sheets.” The attempt to get a listing through the NYSEARCA platform having failed in September last year.

    Some investment gurus called GBTC a joke. But they had to face it has won the race and become the first publicly traded Bitcoin fund.

    Moreover, the GBTC value is 85% greater than the value of the bitcoin it has. There are reasons for this. For one, you can buy GBTC in a tax-advantaged account like a retirement account. GBTC is publicly traded, which means you can get out any time you want, and the coins are being kept safely.

    One of the primary media for cryptocurrency news, Coindesk, is a subsidiary of Digital Currency Group (DCG).
    If you are a small investor or investing in a retirement account, GBTC may be the best bet you have for profiting on the future of Bitcoin Nvidia Corporation (NVDA).

    2. Nvidia Corporation (NVDA) cryptocurrency stocks

    Even if you’re not excited in cryptocurrencies, Nvidia Corporation (NASDAQ:NVDA) is a stock worth owning. The stocks increased by nearly 70% during 2017, revenue was growing almost 40% during the same fiscal year. This company is currently possible to reach over $8 billion in revenue and take 25% of that revenue as the net income.

    Nvidia is also a very valuable cryptocurrency stock, with a market cap of $111 billion. It is almost 14 times bigger revenue estimated for this year and a tremendous 53 times earnings. High-performance graphics processors, originally designed for video games, appeared as great for the serious work of finding decryption keys that symbolize crypto-coins. But that is not the only reason to buy it.

    The best reason to buy Nvidia stock is its cloud. Data centers are now going through their first upgrade cycle, to support Artificial Intelligence (AI) applications like voice interfaces, self-driving cars, and the Internet of Things (IoT).

    Instant response is the key here. The low-end processor clouds like those of Amazon.com, Inc. (NASDAQ:AMZN), and Alphabet Inc (NASDAQ:GOOG, NASDAQ:GOOGL), just don’t have the processing power needed for the next decade’s growth markets.

    Graphics chip leader NVIDIA has done greatly well in recent years thanks to booming sales for PC gaming and data center applications.

    3. Square (NYSE:SQ)

    Cryptocurrency stocks Square has developed quite a bit over the past few years. At first, it was a niche manufacturer of payment processing hardware for small businesses into a lender.

    Its growth isn’t only impressive. It continues to rise. The company’s revenue increased by 68% year over year in the most recent quarter. Also, the payment processing volume continues to rise, the services-based revenue is 155% higher than a year ago. Also, there is the Cash App, a great source of potential income.

    Square allowed its Cash App customers to begin buying and selling Bitcoin last year. When cryptocurrencies start to experience a recovery, it could evolve into a significant part of the market.

    This is our opinion based on personal experience, paste performances, and data analysis. You may have some other feeling about where to invest. And it is alright. That hunch you have could lead you to the incredible gains. But, our suggestion is to read and examine.

     

  • Investing in Cryptocurrency – The Pros and Cons

    Investing in Cryptocurrency – The Pros and Cons

    2 min read

    The Pros and Cons of Investing in Cryptocurrencies 2

    Investing in cryptocurrencies is generally a risky investment. Investing in cryptocurrency could be a good investment, or it could not. It depends on you and your attitude. In crypto’s early days there is no yes or no answer about the wisdom of investing in cryptocurrency. With this in mind, we will cover some pros and cons and give friendly advice. Remember, this isn’t professional advice, we don’t offer professional legal, investment, or tax advice.

    If you don’t just want to buy, sell, or invest in cryptocurrency. If you want to invest in cryptocurrency, you have several options.

    First comes first: You need to start investing in cryptocurrency with some flexibility. You have to be prepared to lose everything you invest in cryptocurrency. It probably won’t happen, but be careful. The least risky coins are the coins that are present the longest time and have the highest market cap and highest volume. Anything other than Bitcoin, Litecoin, or Ethereum is riskier. Bitcoin is the current top coin for resilience, market cap, and volume. Also the most expensive.

    There are several pros and cons to review before investing in cryptocurrency.

    CONS:

    The cryptocurrency market has been very volatile since its beginning. The price of Bitcoin can swing up or down hundreds of dollars in one day. We have already seen a few bubbles and busts in the past. There is a risk of the venture on a given coin even if cryptocurrency is prosperous. Even if cryptocurrency is a good long-term bet, we don’t know if any coin will be the one that sticks around. Even more true for the countless less popular coins with smaller market caps.

    The Pros and Cons of Investing in Cryptocurrencies 1Those with low-risk tolerance have a difficulty; they are inclined to getting weakness and pulling out at a loss while the market is fixing up or going down. An investor needs to be prepared to take a loss or sit on a loss for a while if the market goes down. That requires a certain type of mindset and expendable funds. There are some psychological factors to consider along with economic ones.

    The only way to trade cryptocurrency on the stock market is to buy GBTC (Grayscale Bitcoin Investment Trust), which trades at a premium. The simplest way to buy a cryptocurrency for a novice aside the stock market is via some company. They charge some fees for that, but the lowest fees are on the open exchanges of the internet. Between premiums and fees and finding a broker, all options for trading have costs and it isn’t easy to calculate.

    Spirit level of crypto investors is changeable. Like the Moon. Bad news in term of regulations can send crypto value to drown in one day. But the same news another day may have no effect. If you join some cryptocurrency group on social media, and you’ll note it goes from hot-to-cold with the weather. The market is a bit fussy, I think.

    PROS

    The cryptocurrency market is still young, and the most optimistic investors are predicting future prices, some of them claim that it can be for e.g. Bitcoin, $220,000 by 2020. Cryptocurrency is a very risky but potentially rewarding bet. More, if cryptocurrency is in a bubble, the trend could very well be toward cryptocurrency being an important medium of exchange and store of value in the future if the current price is lower than the highest price we will ever see. That makes it a good long-term bet. You can often buy high low and sell high. There is money to be made.

    The Pros and Cons of Investing in Cryptocurrencies 4
    Despite all its risks, crypto is possible the most exciting asset 21st century. It is decentralized, works on blockchain technology which is here-to-stay. You can find billions of motives about why everyone has to be excited about crypto. As much as reasons to be conservative in your investment.

    Don’t dump your whole saving into crypto, but don’t hesitate to put a small investment you are ready to lose, just to learn and have fun on your beginning. Later you will have the know-how.

    TIP

    If it is the bubble, then pop it!

    One of the reasons for taking extreme caution is the current potentially high price. If the price goes back down to 2015 levels, then the number of PROS will increase. The unknowns and high price and volatile market make it risky, but there are plenty of reasons to be excited despite all that especially long-term.

    Investing in cryptocurrencies is very risky, markets are volatile and the technologies are still quite young.

    But, they are still a great opportunity for anyone interested in investing.

    Treat them as you would any investment and do your own research.

    Step into this new world while is time.

    Risk Disclosure (read carefully!)